Question:
Study the following figure carefully and choose the correct alternative to fill in the blank:
Study the following figure carefully and choose the correct alternative to fill in the blank:
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The Current Account records trade in goods, trade in services, and unilateral transfers, while the Capital Account deals with investments and borrowings.
Updated On: June 02, 2025
- Investments
- Trade of Services
- External Borrowings
- External Assistance
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The Correct Option is B
Solution and Explanation
The Current Account in the Balance of Payments includes trade in goods (merchandise), trade in services, and transfer payments. Therefore, the correct alternative to fill in the blank is Trade of Services.
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