Refer to the table below. What does the figure for net investment income indicate?

Question

The following table contains hypothetical data for the U.S. balance of payments in a year. Answer the following question on the basis of these data. All figures are in billions of dollars.

U.S. goods exports +$390
U.S. goods imports -498
U.S. service exports +133
U.S. service imports -107
Net investment income +12
Net transfers -22
Capital account -5
Foreign purchases of U.S. assets +156
U.S. purchases of foreign assets -59

A. Americans invested more abroad than the amount foreigners invested in the U.S.
B. The size of the net inflow of foreign investment to the United States in that year
C. The net amount Americans received as interest and dividends on existing American investments abroad
D. The net amount Americans paid as interest and dividends on existing foreign investments in the United States

Answer 1

C. The net amount Americans received as interest and dividends on existing American investments abroad