Giving reason, state whether the following statement are true or false.
Accommodating items of trade are undertaken in order to maintain the balance in the BOP account.
Download our app for free and get startedPlay store
True.Explanation:
Accommodating transactions are net consequences of autonomous transactions that are undertaken to correct disequilibrium in autonomous items of BOP.
art

Download our app
and get started for free

Experience the future of education. Simply download our apps or reach out to us for more information. Let's shape the future of learning together!No signup needed.*

Similar Questions

  • 1
    Decrease in demand for foreign currency leads to currency depreciation. (True/ False)
    View Solution
  • 2
    Are the following statement true or false? Give reason.
    Revaluation and appreciation of currency are one and the same thing.
    View Solution
  • 3
    Giving reason, state whether the following statement are true or false.
    Foreign exchange received on account of export of sugar will be recorded in current account.
    View Solution
  • 4
    When in order to buy 1 US dollar ₹ 65 are needed instead of ₹ 60 earlier, domestic currency shows appreciation. (True/ False)
    View Solution
  • 5
    Current account is a part of balance of trade. (True/ False)
    View Solution
  • 6
    Giving reasons, state whether the following statements are true or false:
    Both depreciation and devaluation of domestic currency have the same meaning.
    View Solution
  • 7
    Giving reasons, state whether the following statements are true or false:
    Appreciation of domestic currency discourages imports.
    View Solution
  • 8
    Accommodating items do not cause any movement of goods and services across the borders. (True/ False)
    View Solution
  • 9
    Giving reason, state whether the following statement are true or false.
    Accommodating items are also known as 'above the line' items.
    View Solution
  • 10
    Giving reason, state whether the following statement are true or false.
    Unilateral transfers received from abroad will be recorded as a credit item of BOP on current account.
    View Solution