Which of the Following Is a Defining Characteristic of a Balance-Of-Payments

question 12

Multiple Choice

Which of the following is a defining characteristic of a balance-of-payments statement?

• A) It is a record of the domestic transactions between the government of a country and the private companies in that country.
• B) It records all financial transactions between the residents of a country and those of the rest of the world.
• C) It records the trade policies of the member nations of the WTO.
• D) It is an annual record of the profitable foreign transactions made by a particular country.
• E) It is a financial statement in which the credits must exceed the debits.

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Definitions:

Service Fee

A charge levied for the provision of a particular service, often added to the basic cost of the service.

Dishonors

Refers to the failure to fulfill an obligation or agreement, especially in the context of finance, like a cheque not being paid due to insufficient funds.

Civil Suit

A legal proceeding initiated by an individual or entity (plaintiff) against another (defendant) for the resolution of a non-criminal dispute.

Criminal Prosecution

The legal process in which an individual is charged and tried for a crime.