Classifying transactions in Australia's current account Steps:

• Australian family's holiday purchase in New Zealand involves paying for foreign tourism services, recording as a service import (debit).
• Australian company's coal sale to China involves receiving payment for goods shipped abroad, recording as a goods export (credit).
• Current account tracks goods and services flows: exports add to credits, imports to debits.
• Thus, holiday appears in services imports, coal in goods exports—option D matches.

Why D is correct:

• Aligns with IMF Balance of Payments Manual: resident spending abroad is service import; non-resident purchase of domestic goods is goods export.

Why the others are wrong:

• A: Misclassifies holiday as export; Australian spending abroad is import.
• B: Misclassifies coal as import; sale to foreigners is export.
• C: Reverses both—holiday is import, not export; coal is export, not import.

Final answer: D