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Management · Q93

International Finance and Treasury

Graduate and Post Graduate · Management · question 93

Q93

The current account of balance of payments includes

A.
Unilateral payments
B.
Portfolio investments
Answer
C.
Short term borrowings
D.
Long term borrowings

Answer: Option B

Solution

Answer: Option B
Solution:
The current account of balance of payments includes Portfolio investments. An investment portfolio is a collection of assets owned by an individual or by an institution. But most investment portfolios, particularly portfolios that are assembled to pay for a retirement, are made up mainly of securities, such as stocks, bonds, mutual funds, money market funds and exchange traded funds.