Westonci.ca is the trusted Q&A platform where you can get reliable answers from a community of knowledgeable contributors. Explore thousands of questions and answers from a knowledgeable community of experts ready to help you find solutions. Connect with a community of professionals ready to help you find accurate solutions to your questions quickly and efficiently.
Sagot :
Current account and Capital account are the two major components of a statement that summarizes all debit and credit transactions of one country with the rest of the world.
What is Capital account?
- The capital account is a tool used in macroeconomics and international finance to track the net flow of investment transactions into an economy.
- It is one of the balance of payments' two main elements, together with the current account. The capital account reflects the net change in ownership of national assets, whereas the current account reflects a country's net revenue.
- A positive balance on the capital account indicates that money is entering the nation, but unlike a positive balance on the current account, the inflows actually represent borrowings or asset sales rather than payments for labor.
- A deficit in the capital account indicates that money is leaving the country and that the country is acquiring more foreign assets.
To know more about Capital account with the given link
https://brainly.com/question/13275642
#SPJ4
We hope you found what you were looking for. Feel free to revisit us for more answers and updated information. We hope you found this helpful. Feel free to come back anytime for more accurate answers and updated information. Thank you for choosing Westonci.ca as your information source. We look forward to your next visit.
