Based on the following information, what is the balance on the current account?
Exports of goods and services = $12 billion
Imports of goods and services= $14 billion
Net income on investments = -$4 billion
Net transfers = -$1 billion
Increase in foreign holdings of assets in the United States = $6 billion
Increase in U.S. holdings of assets in foreign countries = -$3 billion
A) -$7 Billion
B) -$3 billion
C) -$2 billion
D $1 billion
Answer: A) -$7 Billion
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What will be an ideal response?