A favorable balance of trades exists when a country

A. has more debt liabilities than assets

B. spends more than it saves

C. saves more than it spends

D. exports more than it imports

D. exports more than it imports

Explanation:

A favorable balance of payment is a term used in international trade to describe a situation where a country's exports exceed imports. A country will experience a positive balance of payment if its a net exporter. A favorable balance of payments is when there is a surplus in a country's balance of trade.

Exports are goods and services manufactured within the borders of a country and sold to foreigners. Imports are products bought from other countries. In calculating the balance of payment, net income from international assets is also considered.