The balance of payments is divided into two major accounts the ?
Correct answer: A. current account the capital account
- A. current account the capital account
- B. current account the trade account
- C. trade account the capital account
- D. current account the reserve account
Explanation
The balance of payments is conventionally divided into the current account, covering goods, services, income and transfers, and the capital or financial account, covering asset transactions. The trade account is only one part of the current account.
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