Description : Short term loans to correct Balance of Payments problems is given by (1) I.M.F. (2) I.B.R.D (3) I.D.A (4) A.D.B
Last Answer : (1) I.M.F. Explanation: Upon Initial IMF formation, its two primary functions were: to oversee the fixed exchange rate arrangements between countries, thus helping national governments manage their ... to prioritize economic growth, and to provide short-term capital to aid balance-of-payments.
Description : Which one of the following items is not included in the current account of India's Balance of Payments? (1) Short-term commercial borrowings (2) Non-monetary gold movements (3) Investment income (4) Transfer payments
Last Answer : (2) Non-monetary gold movements Explanation: Balance of payments (BoP) accounts are an accounting record of all monetary transactions between a country and the rest of the world. These ... factor income (earnings on foreign investments minus payments made to foreign investors) and cash transfers.
Description : Which one of the following items is not included in the current account of India’s Balance of Payments ? (1) Short-term commercial borrowings (2) Non-monetary gold movements (3) Investment income (4) Transfer payments
Last Answer : Non-monetary gold movements
Description : The balance of payments of a country on current account is equal to A. Balance of trade plus short term B. Balance of trade plus net invisible exports C. Balance of payment minus capital flows
Last Answer : Balance of trade plus net invisible exports
Description : Which exchange-rate mechanism is intended to insulate the balance of payments from short-term capital movements while providing exchange rate stability for commercial transactions? A. Dual ... Floating Exchange Rates C. Adjustable Pegged Exchange Rates D. Crawling Pegged Exchange Rates
Last Answer : A. Dual Exchange Rates
Description : Which one of the following is not included in current revenue of the Union Government? (1) Tax revenue (2) Non-tax revenue (3) Loans (4) interest payments
Last Answer : (3) Loans Explanation: Loans are not included in the current revenue of the Union Government.
Description : Which one of the following is not included in current revenue of the Union Government ? (1) Tax revenue (2) Non-tax revenue (3) Loans (4) Interest payments
Last Answer : Loans
Description : The difference in the value of visible exports and visible imports is called : (1) Balance Sheet of items (2) Balance of Payments (3) Balance of Trade (4) Balance of Account
Last Answer : (3) Balance of Trade Explanation: Balance of Trade refers to the difference between the value of a country's visible imports and visible exports. Also known as the visible balance, it forms part of ... totals more than the value of visible exports, it is known as an adverse balance of trade.
Description : he annual record for all the monetary transactions of a country with other countries of the world is known as - (1) Balance of trade (2) Balance of monetary-receipts (3) Balance of payments (4) Balance Sheet
Last Answer : (3) Balance of payments Explanation: Balance of payments (BoP) accounts arc an accounting record of all monetary transactions between a country and the rest of the world. These transactions include ... and are prepared in a single currency, typically the domestic currency for the country concerned.
Description : )A currency having a falling exchange rate due to continuing balance of payments deficit is called a- (1) Soft currency (2) Hard currency (3) Scarce currency (4) Surplus currency
Last Answer : (1) Soft currency Explanation: Soft currency is a currency with a value that fluctuates as a result of the country's political or economic uncertainty which may be due to balance of payments ... set unrealistically high exchange rates, pegging their currencies to a currency such as the U.S. dollar
Description : The best Index of Economic Development is provided by: (1) Growth in Percapita Real Income from year to year. (2) Growth in National Income at Current Prices. (3) Growth in savings ratio. (4) Improvement in the Balance of Payments Position.
Last Answer : (1) Growth in Percapita Real Income from year to year. Explanation: Per capita Gross National Product (GNP) is the best index of development. It can be derived by dividing the GNP of a ... its world development report 1998, classified the countries in the world on the bases of per capita GNP.
Description : In the balance of payments account, unrequited receipts and payments are also regarded as - (1) bilateral transfers (2) unilateral transfers (3) capital account transfers (4) invisible transfers
Last Answer : (2) unilateral transfers Explanation: Unrequited receipts and payments are also regarded as unilateral transfers as the flow is only in one direction with no automatic reverse flow in the other ... borrowings nor lending, but gifts and grants exchanged between governments and people in the world.
Description : The balance of payments of a country is in equilibrium when the - (1) demand as well as supply of the domestic currency are the highest (2) demand for the domestic currency is equal to its supply (3) demand for the domestic currency is the highest (4) demand for the domestic currency is the lowest
Last Answer : (2) demand for the domestic currency is equal to its supply Explanation: When the balance of payments (BOP) of a country is in equilibrium, the surplus or deficit is eliminated from the ... currency is equal to its supply. The demand and supply situation is thus neither favourable nor unfavourable.
Description : What records a country's transactions (made by individuals, firms and government bodies.) with the rest of the world? a) Trade deficit b) Capital Budget c) Foreign imports d) Balance of Payments or BoP
Last Answer : b) other things remaining equal
Description : According to monetary approach of Balance of Payments, the demand for money is a stable function of (a) income, prices and rate of interest (b) income and prices (c) prices and rate of interest (d) income, prices and foreign exchange reserves
Last Answer : income, prices and rate of interest
Description : Rich countries have deficit in their balance of payments (a) Sometimes. (b) Always. © Never. (d) Alternate years.
Last Answer : (a) Sometimes.
Description : The balance of payments equals (a) The difference between household spending over earnings (b) The difference between government expenditure over its income © A measure of the value of economic ... a country and rest of the world (d) The difference between inflation and unemployment.
Last Answer : © A measure of the value of economic transactions between residents of a country and rest of the world
Description : In the balance of payments account, unrequited receipts and payments are also regarded as (1) bilateral transfers (2) unilateral transfers (3) capital account transfers (4) invisible transfers
Last Answer : unilateral transfers
Description : The balance of payments of a country is in equilibrium when the (1) demand as well as supply of the domestic currency are the highest (2) demand for the domestic currency is equal to its supply (3) demand for the domestic currency is the highest (4) demand for the domestic currency is the lowest
Last Answer : demand for the domestic currency is equal to its supply
Description : The annual record for all the monetary transactions of a country with other countries of the world is known as (1) Balance of trade (2) Balance of monetary-receipts (3) Balance of payments (4) Balance Sheet
Last Answer : Balance of payments
Description : A currency having a falling exchange rate due to continuing balance of payments deficit is called a (1) Soft currency (2) Hard currency (3) Scarce currency (4) Surplus currency
Last Answer : Soft currency
Last Answer : Growth in Percapita Real Income from year to year.
Last Answer : Balance of Trade
Description : The International Monetary Fund is important because: A. It has sufficient financial resources to deal with a major global financial crisis. B. It has sufficient financial resources to help individual ... C. Emerging economies can exercise significant influence on it. D. It fixes exchange rates.
Last Answer : It has sufficient financial resources to help individual countries facing balance of payments problems
Description : Implicit costs are (a) equal to total fixed costs (b) comprised entirely of variable costs (c) payments for self-employed resources (d) always greater in the short run than in the long run
Last Answer : (c) payments for self-employed resources
Description : Devaluation of currency can correct a Balance of Payments deficit because___ A. It lowers price of exports in foreign currency and rises price of imports in home currency B. It raises price of ... and imports in foreign currency D. It lowers price of exports and imports in home currency
Last Answer : A. It lowers price of exports in foreign currency and rises price of imports in home currency
Description : Do I have to make payments on Sallie Mae student loans while enrolled in school?
Last Answer : No, you do not have to make payments on Sallie Mae student loans while enrolled in a qualified program. Depending on the type of loan you take out you will have payments deferred either ... that any unsubsidized loans will capitalize even though you are not required to make payments while enrolled.
Description : Which of the following works is/are done by Credit Information Companies? A. Collecting records of an individual s payments pertaining to loans B. Maintaining records of an individual s payments pertaining to ... cards C. Creating Credit Information Reports D. All of the Above E. None of the Above
Last Answer : D. All of the Above Explanation: Credit Information Companies collects and maintains records of an individual‗s payments pertaining to loans and credit cards. These records are submitted to Credit ... scores which are provided to lenders in order to help evaluate and approve loan applications.
Description : Interest payments on loans borrowed abroad are recorded in A. Capital Account B. Current Accounts C. errors and Omission Section D. Official Reserve Account
Last Answer : Current Accounts
Description : The main source of long-term credit for a business unit is - (1) sale of stocks and bonds to the public (2) borrowing from banks (3) loans from the Government (4) deposits from the public and financial institutions
Last Answer : (1) sale of stocks and bonds to the public Explanation: Companies issue securities called stocks and bonds to raise necessary capital which funds the company's daily operations and growth. ... issuing stock to owners called stockholders doesn't require the company's repayment of investor principal.
Description : The main source of long-term credit for a business unit is (1) sale of stocks and bonds to the public (2) borrowing from banks (3) loans from the Government (4) deposits from the public and financial institutions
Last Answer : sale of stocks and bonds to the public
Description : What are the pros and cons of short term payday loans?
Last Answer : Pay day loans have become so popular because you can get your money even before its been paid to you. The downfall is that there are fees for this service and if you do not repay the loan on ... of absolute necessity as they come with fees that can reduce your ability to pay your next set of bills.
Description : The interest rate charged by banks on short term loans to their largest, most secure and most creditworthy customers is called _______
Last Answer : Prime lending rate
Description : ……. services typically include reviewing account activity and balance, sending electronic payments -Technology
Last Answer : (a) E-banking provides all transactional and non-transactional activities.
Description : I had filed for bankruptcy 2yrs ago and it was dismissed. I have a zero balance on a auto loan that shows on my credit report. Do I still have to make my car payments?
Last Answer : If you reaffirmed your car loan during your bankruptcy, you agreed to continue making the payments. If you included your car in the bankruptcy, then the loan was wiped clean, as it appears to have ... the lawyer who handled your bankruptcy, but my guess is that your car slipped through the cracks.
Description : Donations received for the special purpose will be taken to the– (A) Income and Expenditure Account (B) Assets side of the Balance Sheet (C) Liabilities side of the Balance Sheet (D) Receipts and Payments Account
Last Answer : Answer: Liabilities side of the Balance Sheet
Description : The record of all economic transactions between the residents of a country and the rest of the world in a particular period is known as _______ A. Balance in Current Account B. Balance in Capital Account C. Trade Settlements D. Balance of Trade E. Balance of Payments
Last Answer : E. Balance of Payments Explanation: The balance of payments (BOP) is the method countries use to monitor all international monetary transactions at a specific period of time.A record of all transactions made between one particular country and all other countries during a specific time period.
Description : Which of the following economic concepts is categorised on the basis of Current Account or Capital Account or both? A. Balance of Payments B. Value of the food grain stock of a country C. Gross National Product D. Gross National Income(GNI) E. Total collection of Direct Taxes in a year
Last Answer : A. Balance of Payments Explanation: A Balance of payments statements is a summary of a nation‘s total economic transactions undertaken on international account. It is usually composed of two sections :-
Description : The_______ of an office will ordinarily be a sum equal to the average _________multiplied by the number of days in which funds can be obtained, plus a percentage of the average ___________(if ... payments, daily payments a) Minimum cash balance , daily payments, daily receipts a) None of these
Last Answer : a) Minimum cash balance , daily payments, daily payments
Description : The _____________ is the difference in value between a nation's exports and its imports 1. balance of payments 2. export / import ratio 3. gross domestic product 4. net trade value 5. balance of trade
Last Answer : balance of trade
Description : Which of the following exceptions in the WTO rules does not permit a country to use a tariff or quota that is more restrictive than its bound tariff? A. Anti-dumping B. Countervailing duties C. Safeguards D. Balance of payments protection E. Preferential trade agreements
Last Answer : E. Preferential trade agreements
Description : Which statement is true? 1) The balance of payments depends on the principle of double-entry accounting. 2) Decrease in assets and increase in liabilities of net worth represent credits or sources of funds. 3) The balance of ... period of time. A. Only 1 B. Only 2 C. Only 3 D. 1, 2 and 3
Last Answer : D. 1, 2 and 3
Description : A primary objective of dual exchange rates is to allow a country the ability to insulate its balance of payments from net: A. Current account transactions B. Unilateral transfers C. Merchandise trade transactions D. Capital account transactions
Last Answer : D. Capital account transactions
Last Answer : D. Capital account transaction
Description : Under a pegged exchange-rate system, which does not explain why a country would have a balance-of payments deficit? A. Very high rates of inflation occur domestically B. Foreigners ... . Technological advance is superior abroad D. The domestic currency is undervalued relative to other currencies
Last Answer : The domestic currency is undervalued relative to other currencies
Description : e __________ is the difference in value between a nation's exports and its imports. A)balance of payments B)export/import ratio C)gross domestic product D)net trade value E)balance of trade
Last Answer : A)balance of payments
Description : Which of the following transactions is included in the current account balance of the Balance of payments statement? (a) Foreign direct investments. ; (b) Portfolio investments.; (c) External commercial borrowings. ; (d) Dividends earned on portfolio investments
Last Answer : (d) Dividends earned on portfolio investments
Description : If the balance on current and capital accounts of Balance of Payments (BoP) taken together is negative, then (a) It is a case of BoP surplus ; (b) It is a case of BoP surplus where the official reserve account is in surplus; (c) It is a case of BoP deficit ; (d) It is case of BoP disequilibrium
Last Answer : (c) It is a case of BoP deficit ;
Description : All entries in the balance of payments should collectively sum to (a) GDP of that country ; (b) GNP of that country ; (c) Zero ; (d) Exports of that country.
Last Answer : (c) Zero
Description : Transfer payments mean - (1) Old age pensions (2) Unemployment compensations (3) Social security payments (4) All the above
Last Answer : (4) All the above Explanation: Transfer payment refers to a payment made by a public authority other than one made in exchange for goods or service produced. Transfer payments are ... income. Examples include Old age pensions, unemployment compensations, social security payments and child benefit.