Question : Capital account is used to

Option 1: Financial deficit in the current account

Option 2: Absorb surplus of current account

Option 3: Both A and B

Option 4: Neither A nor B.

Question

Question : Which of the following is not a type of balance of payments surplus or deficit?
Option 1: Trade surplus or deficit
Option 2: Current account surplus or deficit
Option 3: Capital account surplus or deficit
Option 4: Service account surplus or deficit

8 Views

Answer 1

Correct Answer: Both A and B

Solution : Capital account is used to

Financial deficit in the current account
Absorb surplus of current account

Hence, Option C is correct.

Exams

Colleges

Predictors

Resources

Quick links

B.Tech CompanionUse Now Your one-stop Counselling package for JEE Main, JEE Advanced and BITSAT

Exams

Colleges & Courses

Predictors

Resources

Exams

Colleges

Predictors & E-Books

Resources

Engineering Preparation

Medical Preparation

Law Preparation

MBA Preparation

Exams

Colleges

Resources

Exams

Colleges

Predictors & Articles

Resources

Exams

Colleges

Predictors

Resources

NEET CompanionUse NowYour one-stop Counselling package for NEET, AIIMS and JIPMER

Exams

Colleges

Upcoming Events

Resources

Exams

Colleges

Resources

Quick Links

Top Streams

Specializations

Resources

Top Providers

Exams

Colleges

Resources

Diploma Colleges

Exams

Colleges

Resources

Exams

Resources

Top Courses & Careers

Colleges

Exams

Upcoming Events

Resources

Other Exams

Exams

Colleges

Top Countries

Resources

Exams

Top Schools

Products & Resources

NCERT Study Material

Question : Capital account is used to Option 1: Financial deficit in the current account Option 2: Absorb surplus of current account Option 3: Both A and B Option 4: Neither A nor B.

Related Questions

Question : Which of the following is not a type of balance of payments surplus or deficit?Option 1: Trade surplus or deficitOption 2: Current account surplus or deficitOption 3: Capital account surplus or deficitOption 4: Service account surplus or deficit

Question : If there is a current account deficit in the balance of payment, then this deficit is settled by ___________________________________. Option 1: Capital outflow from abroad Option 2: Capital inflow from abroad Option 3: Both A and B Option 4: Neither A nor B.

Question : A current account surplus can be used to finance a ______________in the capital account.Option 1: surplusOption 2: deficitOption 3: balanceOption 4: trade

Question : If a country receives more income from its foreign investments than it pays to foreign investors, it will have a:Option 1: Current account surplusOption 2: Current account deficitOption 3: Capital account surplusOption 4: Capital account deficit

Question : If a country experiences a decrease in its foreign exchange reserves, it indicates:Option 1: A surplus in the current accountOption 2: A deficit in the current accountOption 3: A surplus in the capital accountOption 4: A deficit in the capital account

Trending Articles/News

Sign In/Sign Up

Download the Careers360 App on your Android phone

B.Tech CompanionUse Now
Your one-stop Counselling package for JEE Main, JEE Advanced and BITSAT

NEET CompanionUse Now
Your one-stop Counselling package for NEET, AIIMS and JIPMER

Question : Capital account is used to

Option 1: Financial deficit in the current account

Option 2: Absorb surplus of current account

Option 3: Both A and B

Option 4: Neither A nor B.

Question : Which of the following is not a type of balance of payments surplus or deficit?
Option 1: Trade surplus or deficit
Option 2: Current account surplus or deficit
Option 3: Capital account surplus or deficit
Option 4: Service account surplus or deficit

Question : If there is a current account deficit in the balance of payment, then this deficit is settled by ___________________________________.

Option 1: Capital outflow from abroad

Option 2: Capital inflow from abroad

Option 3: Both A and B

Option 4: Neither A nor B.

Question : A current account surplus can be used to finance a ______________in the capital account.
Option 1: surplus
Option 2: deficit
Option 3: balance
Option 4: trade

Question : If a country receives more income from its foreign investments than it pays to foreign investors, it will have a:
Option 1: Current account surplus
Option 2: Current account deficit
Option 3: Capital account surplus
Option 4: Capital account deficit

Question : If a country experiences a decrease in its foreign exchange reserves, it indicates:
Option 1: A surplus in the current account
Option 2: A deficit in the current account
Option 3: A surplus in the capital account
Option 4: A deficit in the capital account