Which one of the following items is a "credit" item in a country's balance-of-payments accounts?
A) unilateral transfers received from another country
B) decrease in short-term home country assets owned by foreign private citizens
C) imports of goods
D) domestic purchase of a foreign corporation's bond

Question

Quizplus · Accepted Answer

Unilateral transfers received from another country are considered a "credit" item in a country's balance-of-payments accounts because they represent inflows of funds to the country without a corresponding outflow, such as gifts, aid, or remittances from abroad.

Which One of the Following Items Is a "Credit" Item