In the Balance of Payments,the Statistical Discrepancy Is Used To

question 62

Multiple Choice

In the balance of payments,the statistical discrepancy is used to:

• A) Ensure that the sum of all debits matches the sum of all credits
• B) Ensure that trade imports equal the value of trade exports
• C) Obtain an accurate account of a balance-of-payments deficit
• D) Obtain an accurate account of a balance-of-payments surplus

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Definitions:

Cash Receipts

Cash receipts are the collection of money, including currency, checks, and electronic transfers, received by a business.

Cash Disbursements

Payments a company makes in cash, covering operational expenses, purchases, or investments.

Variable Selling

Costs that vary depending on the level of sales activity, such as commissions or shipping charges.

Administrative Expense

Expenses incurred by a business that are not directly tied to a specific function such as manufacturing, production, or sales. These can include salaries of executive personnel, accounting fees, and HR services.