Current Account- It is the account that records imports and exports of goods, services and unilateral transfers.
Components of Current Account:
(i) Merchandise account (ii) Invisible items, and (iii) Unilateral...
In trade account import and export of goods are recorded. In current account import and export of goods, and services are recorded. Factor income and transfer payment are also recorded.
(a) (i) Investment from abroad-It is entered to credit side.
(ii) Transfer of Funds to relatives abroad: It is entered to debit side.
(b) (i) Investment from abroad-Capital Account because...
Lines from the Para:
(a) "He called one of his rich friends Sudhir and asked him to invest Rs.5 crore in shares of his bank”.
(b) "On regular inspection and by conducting...
Lines from the Para:
(a) "He called one of his rich friends Sudhir and asked him to invest Rs.5 crore in shares of his bank”.
(b) "On regular inspection and by...
