USA HISTORY

Detailed explanation-1: -The treaty forced Germany to disarm, to make territorial concessions, and to pay reparations to the Allied powers in the staggering amount of $5 billion.

Detailed explanation-2: -The Treaty of Versailles (signed in 1919) and the 1921 London Schedule of Payments required Germany to pay 132 billion gold marks (US$33 billion [all values are contemporary, unless otherwise stated]) in reparations to cover civilian damage caused during the war.

Detailed explanation-3: -The war guilt clause of the treaty deemed Germany the aggressor in the war and consequently made Germany responsible for making reparations to the Allied nations in payment for the losses and damage they had sustained in the war.

Detailed explanation-4: -The Treaty of Versailles held Germany responsible for starting the war and imposed harsh penalties on the Germans, including loss of territory, massive reparations payments and demilitarization.