If the current account has a positive balance of $100 and the capital and financial account has a negative balance of $90, there will be ________ in official reserves of ________.
A) a decrease; $10
B) an increase; $10
C) an increase; $190
D) a decrease; $190

Question

Quizplus · Accepted Answer

A positive current account balance of $100 and a negative capital and financial account balance of $90 results in a net surplus of $10, leading to an increase in official reserves by $10.

If the Current Account Has a Positive Balance of $100