The Measurement of Reinvested Earnings in the Balance of Payments

This paper notes that, for the first time, the concept and treatment of reinvested earnings in the Fund's Balance of Payments Manual and the 1993 System of National Accounts are fully harmonized. The paper presents the conceptual basis for the measurement of reinvested earnings and illustrative...

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Bibliographic Details
Main Author: Bame, Jack
Format: eBook
Language:English
Published: Washington, D.C. International Monetary Fund 1995
Series:IMF Working Papers
Online Access:
Collection: International Monetary Fund - Collection details see MPG.ReNa
Description
Summary:This paper notes that, for the first time, the concept and treatment of reinvested earnings in the Fund's Balance of Payments Manual and the 1993 System of National Accounts are fully harmonized. The paper presents the conceptual basis for the measurement of reinvested earnings and illustrative examples as to recording, from the Fund's Balance of Payments Compilation Guide and Balance of Payments Textbook. Highlighted are the recommended time of recording of reinvested earnings, the calculation of earnings on a current operating basis, and the calculation of depreciation at replacement cost, notwithstanding possible practical difficulties in implementation
Physical Description:20 pages
ISBN:9781451950724