Enter the acquisition of foreign assets by residents ($) and the acquisition of domestic assets by non-residents ($) into the Calculator. The calculator will evaluate the Net Capital Outflow.

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## Net Capital Outflow Formula

NCO = AAF - ADNR

Variables:

- NCO is the Net Capital Outflow ($)
- AAF is the acquisition of foreign assets by residents ($)
- ADNR is the acquisition of domestic assets by non-residents ($)

To calculate the Net Capital Outflow, subtract the value of acquisitions of domestic assets by non-residents from the value of acquisitions of foreign assets by residents.

## How to Calculate Net Capital Outflow?

The following steps outline how to calculate the Net Capital Outflow.

- First, determine the acquisition of foreign assets by residents ($).
- Next, determine the acquisition of domestic assets by non-residents ($).
- Next, gather the formula from above = NCO = AAF – ADNR.
- Finally, calculate the Net Capital Outflow.
- After inserting the variables and calculating the result, check your answer with the calculator above.

**Example Problem : **

Use the following variables as an example problem to test your knowledge.

acquisition of foreign assets by residents ($) = 100000

acquisition of domestic assets by non-residents ($) = 20000