Which of the Following Statements Is TRUE

question 12

Multiple Choice

Which of the following statements is TRUE?

• A)The financial account balance is the negative of the current account balance.
• B)A country's balance on current account will be less than its balance on financial account if exchange rates are allowed to float freely.
• C)If the market for a nation's currency is in equilibrium, a financial account surplus necessarily means a current account surplus.
• D)Exchange rates don't affect either financial accounts or current accounts.

---

Definitions:

Fertility

The natural capability of giving life; in humans, it refers to the ability to conceive children.

Gender Determination

The process of establishing the gender of an individual, which can involve genetic testing, ultrasound imaging, or other medical or cultural practices.

Conception

Conception is the process of fertilization where a sperm cell unites with an egg cell, leading to the beginning of pregnancy and the development of an embryo.

Ovum

A female gamete or egg cell that, when fertilized by a sperm, can develop into a new organism.