A firm will never operate at a loss

The text compares the macroeconomic performance of Great Britain and France immediately following Great Britain's departure from the ERM in 1992. What does it conclude?

A) The rate of growth of real GDP was higher in France than in Great Britain. B) The rate of growth of real GDP was lower in France than in Great Britain. C) The rates of growth of real GDP were equal in France and in Great Britain. D) GDP growth of both Great Britain and France increased dramatically after Great Britain withdrew from the ERM.

Suppose Honda purchases a car factory in the United States. This purchase is entered into which of the balance of payments accounts?

A) business purchases account B) current account C) capital and financial account D) trade account E) official settlements account