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Question

      If the difference between the FDIs of Brazil and Indonesia is $ 8.34 billions, then what is the difference in their FIIs?    
  1. $ 5.56 b
  2. $ 8.34 b
  3. $ 12.51 b
  4. Cannot be determined


Solution

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

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