Which of the Following Statements Is True of the Balance-Of-Payments

question 59

Multiple Choice

Which of the following statements is true of the balance-of-payments records?

• A) The balance-of-payments accounts do not consider income brought in by nonresident citizens of a country.
• B) The fact that assets and liabilities balanced in a balance-of-payments statement does not mean that a nation is in a particularly good financial condition.
• C) A balance of payments is not a record of the financial condition of a nation.
• D) A balance of payments is a good determinant of the financial condition of a nation.
• E) A balance-of-payments record is maintained on a single-entry bookkeeping system.

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Definitions:

Density

The mass per unit volume of a substance, indicating how compact or sparse the substance is.

Displace

To move or force something/someone away from their usual or original position.

Fragment

A smaller part or piece that has been broken off, separated, or incomplete from its original source.

Density

The density of a material is defined as its mass divided by its volume, typically expressed in grams per cubic centimeter or kilograms per cubic meter.