Question

what is meant by balance of payment​

Answer 1

Answer:

Balance Of Payment (BOP) is a statement which records all the monetary transactions made between residents of a country and the rest of the world during any given period. ... This means, all the transaction will have a debit entry and a corresponding credit entry.

Answer 2

Answer:

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Balance Of Payments :

Balance of payments is a summary record of a country's monetary transactions with the rest of the world in a year. It includes invisible items and visible items. Balance of payments has 2 main accounts :

• 1 - Current account

• 2 - Capital account

1 ) Current Account :

The current account consists of all transactions relating to trade in goods and services and transfer payments.

Balance On Current account :

Receipts from current account transactions are called current receipts. Payments on current transactions are called Current payments.

2 ) Capital Account :

Capital account includes all international transactions relating to assets like money, stocks, bonds, etc.

Balance on Capital Account :

Capital account is in balance of capital inflows from foreign countries are equal to capital outflows to foreign countries.