Interest received from Australian holdings of foreign assets and interest paid to foreigners for Australian investment assets is recorded in the

Question

Quizplus · Accepted Answer

Interest received from Australian holdings of foreign assets and interest paid to foreigners for Australian investment assets are transactions that affect the flow of income between Australia and the rest of the world. These transactions are recorded in the current account, which includes all transactions related to trade in goods and services, income, and current transfers.

Interest Received from Australian Holdings of Foreign Assets and Interest