Question

+ QNo.20 Which of the following pairs is not correctly
matched with regard to balance of payment accounts?
A. Import of goods and services – Debit in the current
account
B. Receipts of transfer payments – Credit in the current
account
C. Direct investment receipt - Credit in the capital account
D. Portfolio investment payments – Debit in the current
account​

Answer 1

Answer:

Increased profits can cause the stock price to rise as investors feel more confident about the company's future and demand for the stock increases. The issuance of dividends and stock buybacks can also result from profits and increase the stock price.