5 Questions
Which side of the Balance of Payments Account will the import of services be recorded?
Debit side of current account
Where will the purchase of 60% shares of a foreign company in America by an Indian company be recorded in the Balance of Payments Accounts?
Credit side of capital account
How can an increase in foreign direct investment affect the price of foreign exchange?
Increase the price of foreign exchange
When the price of foreign currency rises in a country, what will happen to the national income?
National income will fall
In which sub-account and on which side of the Balance of Payments Account will the lending of Indian investors abroad be recorded?
Debit side of capital account
This quiz tests your knowledge of recording items in the Balance of Payments Account. Learn where to record imports of services, foreign investments in India, Indian tourists going abroad, India giving loans to other countries, and Indian companies purchasing shares of foreign companies.
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