Question

If the difference between the FDIs of Brazil and Indonesia is $ 8.34 billions, then what is the difference in their FIIs?

• A. $ 5.56 b
• B. $ 8.34 b
• C. $ 12.51 b
• D. Cannot be determined

Answer 1

The correct option is C $ 12.51 b

c

Let the GDP for Brazil be ‘x’ and that of Indonesia be ‘y’

We can say that 1.8x – 1.2y = 8.34

So, 2.7x – 1.8y = (3/2)(1.8x – 1.2y)

= (3/2)(8.34)

= 12.51

So the required difference = $ 12.51 b