Question : Which of the following statement is correct?

• Supply of foreign exchange come through imports of goods and services.
• The amount which foreigners invest in the home country, increases the supply of foreign exchange.
   

Option 1: Both are true 
 

Option 2: Both are false 
 

Option 3: Statement 1 is true and statement 2 is false.
 

Option 4: Statement 2 is true and statement 1 is false.
 

Question : Which of the following statement is correct?

• Foreign exchange required for making unilateral transfers like sending it to other countries.
• Foreign exchange is demanded to receive payments for purchases of assets into foreign countries.

Option 1: Both are true 
 

Option 2: Both are false 
 

Option 3: Statement 1 is true and statement 2 is false.
 

Option 4: Statement 2 is true and statement 1 is false.
 

Question : Which of the following statement is correct?

• Supply of foreign exchange increases in the form of gifts and other remittance from abroad.
• Supply of foreign exchange comes from those who wants to speculate on the value of foreign exchange.

Option 1: Both are true 
 

Option 2: Both are false 
 

Option 3: Statement 1 is true and statement 2 is false.
 

Option 4: Statement 2 is true and statement 1 is false.
 

Question : Which of the following statement is correct?

• Increase in demand for foreign goods means increase in demand for foreign currency.
• Under a manage floating exchange rate system, the government directly controls the exchange rate.

Option 1: Both are true 
 

Option 2: Both are false 
 

Option 3: Statement 1 is true and statement 2 is false.
 

Option 4: Statement 2 is true and statement 1 is false.
 

Question : Which of the following statement is correct?

• Export and import of machines are recorded in capital account of the balance of payment account.
• Current account of balance of payment account records only exports and imports of goods and services.

Option 1: Both are true 
 

Option 2: Both are false 
 

Option 3: Statement 1 is true and statement 2 is false.
 

Option 4: Statement 2 is true and statement 1 is false.