What is the bookkeeping system for recording all receipts and payments that have a direct bearing on the movement of funds between a nation and foreign countries?

Question

Quizplus · Accepted Answer

The balance of payments is a bookkeeping system that records all receipts and payments that have a direct bearing on the movement of funds between a nation and foreign countries. The balance of payments includes the current account and the capital account, among other components. Therefore, options A and B are incorrect. The trade balance is a component of the current account and refers specifically to the balance of trade in goods and services with other countries. Therefore, option D is also incorrect.

What Is the Bookkeeping System for Recording All Receipts and Payments