12th Class Economics Foreign Exchange Rate Question Bank

done MCQs - Foreign Exchange Rate Total Questions - 115

• question_answer1)
  All currencies other than domestic currency:
  A)
  foreign currency done clear
  B)
  foreign exchange done clear
  C)
  Both [a] and [b] done clear
  D)
  None of these done clear
  View Solution play_arrow

• question_answer2)
  That exchange rate which is officially fixed by the government.
  A)
  Fixed exchange rate done clear
  B)
  Flexible exchange rate done clear
  C)
  Managed floating exchange rate done clear
  D)
  None of the above done clear
  View Solution play_arrow

• question_answer3)
  That exchange rate which is determined by the market forces of demand and supply.
  A)
  Fixed exchange rate done clear
  B)
  Flexible exchange rate done clear
  C)
  Managed floating exchange rate done clear
  D)
  None of the above done clear
  View Solution play_arrow

• question_answer4)
  That exchange rate which is a mixture of both fixed and flexible exchange rate.
  A)
  Fixed exchange rate done clear
  B)
  Flexible exchange rate done clear
  C)
  Managed floating exchange rate done clear
  D)
  None of the above done clear
  View Solution play_arrow

• question_answer5)
  Other things remaining the same, when in a country the price of foreign currency rises, national income is:
  A)
  likely to rise done clear
  B)
  likely to fall done clear
  C)
  Both [a] and [b] done clear
  D)
  not affected done clear
  View Solution play_arrow

• question_answer6)
  Other things remaining the same, when in a country the price of foreign currency falls, national income is:
  A)
  likely to rise done clear
  B)
  likely to fall done clear
  C)
  Both [a] and [b] done clear
  D)
  not affected done clear
  View Solution play_arrow

• question_answer7)
  Demand curve of foreign exchange:
  A)
  parallel to X-axis done clear
  B)
  parallel to Y-axis done clear
  C)
  positively sloped done clear
  D)
  negatively sloped done clear
  View Solution play_arrow

• question_answer8)
  Supply curve of foreign exchange:
  A)
  parallel to X-axis done clear
  B)
  parallel to Y-axis done clear
  C)
  positively sloped done clear
  D)
  negatively sloped done clear
  View Solution play_arrow

• question_answer9)
  Supply of foreign exchange remains the same, demand for foreign exchange increases:
  A)
  depreciation done clear
  B)
  appreciation done clear
  C)
  devaluation done clear
  D)
  revaluation done clear
  View Solution play_arrow

• question_answer10)
  Demand for foreign exchange remains the same, supply of foreign exchange increases:
  A)
  depreciation done clear
  B)
  appreciation done clear
  C)
  devaluation done clear
  D)
  revaluation done clear
  View Solution play_arrow

• question_answer11)
  Other things remaining the same, when foreign currency becomes cheaper, the effect on national income is likely to be:
  A)
  positive done clear
  B)
  negative done clear
  C)
  Both [a] and [b] done clear
  D)
  no effect done clear
  View Solution play_arrow

• question_answer12)
  The rate at which demand for and supply of foreign exchange becomes equal is called:
  A)
  Equilibrium rate of exchange done clear
  B)
  Unequal rate of exchange done clear
  C)
  Equal rate of exchange done clear
  D)
  All of the above done clear
  View Solution play_arrow

• question_answer13)
  Foreign exchange is demanded:
  A)
  by domestic residents to purchase goods from other countries done clear
  B)
  for sending gifts to foreign countries done clear
  C)
  to visit foreign countries done clear
  D)
  All of the above done clear
  View Solution play_arrow

• question_answer14)
  What is the relationship between foreign exchange rate and demand for foreign exchange?
  A)
  Inverse done clear
  B)
  Direct done clear
  C)
  One-to-one done clear
  D)
  None of these done clear
  View Solution play_arrow

• question_answer15)
  Supply of foreign exchange comes from:
  A)
  exports of goods and services done clear
  B)
  investment by foreigners in the country done clear
  C)
  currency dealers and speculators done clear
  D)
  All of the above done clear
  View Solution play_arrow

• question_answer16)
  What is the relationship between exchange rate and supply of foreign exchange?
  A)
  Inverse done clear
  B)
  Direct done clear
  C)
  One-to-one done clear
  D)
  No relationship done clear
  View Solution play_arrow

• question_answer17)
  Depreciation in currency means:
  A)
  fall in the value of domestic currency in terms of foreign currency done clear
  B)
  rise in the value of domestic currency in terms of foreign currency done clear
  C)
  no change in the value of domestic currency done clear
  D)
  None of the above done clear
  View Solution play_arrow

• question_answer18)
  Depreciation in domestic currency leads to:
  A)
  increase in exports done clear
  B)
  increase in imports done clear
  C)
  Both [a] and [b] done clear
  D)
  Neither [a] nor [b] done clear
  View Solution play_arrow

• question_answer19)
  Indian Rupee has depreciated in terms of US Dollar due to:
  A)
  rising demand of dollars done clear
  B)
  shortage of US dollar done clear
  C)
  more supply of Indian currency done clear
  D)
  less demand of Indian rupees done clear
  View Solution play_arrow

• question_answer20)
  Flexible exchange rate is also known as:
  A)
  Pegged exchange rate done clear
  B)
  Floating exchange rate done clear
  C)
  Both [a] and [b] done clear
  D)
  None of the above done clear
  View Solution play_arrow

• question_answer21)
  Devaluation of currency means:
  A)
  reduction in the value of foreign currency by the government done clear
  B)
  reduction in the value of domestic currency in terms of foreign currency done clear
  C)
  reduction in the value of domestic currency by force done clear
  D)
  None of the above done clear
  View Solution play_arrow

• question_answer22)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  (A)	Fixed exchange rate	1.	Foreign exchange rate
  (B)	Flexible exchange rate	2.	Fixed by the government
  (C)	Managed floating exchange rate	3.	Determined by market forces
  (D)	S1 Rs. 75	4.	Hybrid of fixed and floating

   
  A)
  A - 3, B - 4, C - 1, D - 2 done clear
  B)
  A - 1, B - 2, C - 3, D - 4 done clear
  C)
  A - 2, B - 3, C - 4, D - 1 done clear
  D)
  A - 4, B - 2, C - 1, D - 3 done clear
  View Solution play_arrow

• question_answer23)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  (A)	Depreciation of currency	1.	Positively related to exchange rate
  (B)	Appreciation of currency	2.	Inversely related to  exchange rate
  (C)	Demand for foreign currency	3.	Rise in exports, fall in imports
  (D)	Supply foreign  currency	4.	Fall in exports, rise in imports

  A)
  A - 3, B - 4, C - 2, D - 1 done clear
  B)
  A - 4, B - 3, C - 2, D - 1 done clear
  C)
  A - 1, B - 2, C - 3, D - 4 done clear
  D)
  A - 2, B - 4, C - 3, D - 1 done clear
  View Solution play_arrow

• question_answer24)
  From the following statements given in Column I am Column II, choose the correct pair of statements:

  Column I		Column II
  (A)	A change from S1 = Rs. 70 to S1 = Rs. 75	1.	Demand for foreign exchange
  (B)	A change from S1 = Rs. 75 to S1 =  Rs. 70	2.	Supply of foreign exchange
  (C)	Import of  I-phone	3.	Appreciation of currency
  (D)	Foreigners coming to India to visit Taj Mahal	4.	Depreciation of currency

   
  A)
  A - 4, B - 3, C - 2, D - 1 done clear
  B)
  A - 1, B - 4, C - 2, D - 3 done clear
  C)
  A - 1, B - 3, C - 4, D - 2 done clear
  D)
  A - 4, B - 3, C - 1, D - 2 done clear
  View Solution play_arrow

• question_answer25)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  (A)	Demand for foreign exchange	1.	Inflow of foreign exchange
  (B)	Supply of foreign exchange	2.	Outflow of foreign exchange
  (C)	Foreign currencies are bought	3.	Revaluation and sold
  (D)	Rise in price of domestic currency with 'respect to foreign currencies by government	4.	Foreign exchange market

  A)
  A - 1, B - 2, C - 3, D - 4 done clear
  B)
  A - 2, B - 1, C - 4, D - 3 done clear
  C)
  A - 3, B - 1, C - 4, D - 2 done clear
  D)
  A - 4, B - 3, C - 2, D - 1 done clear
  View Solution play_arrow

• question_answer26)
  From the following statements given in Column I and Column II. Choose the correct pair of statements:

  Column I		Column II
  (A)	Investments by large MNCs in India	1.	Depreciation of currency
  (B)	Selling of securities by Falls in Indian Capital market	2.	Appreciation of currency
  (C)	More risk and uncertainty	3.	Fixed exchange rate
  (D)	Depends upon gold price	4.	Flexible exchange rate

  A)
  A - 2, B - 1, C - 4, D - 3 done clear
  B)
  A - 1, B - 4, C - 3, D - 2 done clear
  C)
  A - 4, B - 2, C - 3, D - 1 done clear
  D)
  A - 1, B - 2, C - 3, D - 4 done clear
  View Solution play_arrow

• question_answer27)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  (A)	Visits to foreign countries for sightseeing	1.	Appreciation of currency
  (B)	Incentives for exports	2.	Spot market
  (C)	Market in which receipts and payments take place at the same time	3.	Forward market
  (D)	Market in which sale and purchase of foreign currency is fixed on a specified future date at a rate decided today	4.	Depreciation of currency

  A)
  A - 4, B - 3, C - 2, D - 1 done clear
  B)
  A - 3, B - 1, C - 4, D - 2 done clear
  C)
  A - 4, B - 1, C - 2, D - 3 done clear
  D)
  A - 1, B - 2, C - 3, D - 4 done clear
  View Solution play_arrow

• question_answer28)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  (A)	Incredible India or Atulya Bharat	1.	Outflow of foreign currency
  (B)	Indians going to Japan to visit Mario Kingdom	2.	Inflow of foreign currency
  (C)	Related to fixed exchange rate system	3.	Depreciation of currency
  (D)	Related to flexible  exchange rate system	4.	Devaluation of currency

  A)
  A - 1, B - 3, C - 4, D - 2 done clear
  B)
  A - 2, B - 1, C - 4, D - 3 done clear
  C)
  A - 2, B - 4, C - 3, D - 1 done clear
  D)
  A - 4, B - 3, C - 2, D - 1 done clear
  View Solution play_arrow

• question_answer29)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  (A)	All currencies other than home currency	1.	Flexible exchange rate
  (B)	Rate at which currencies are exchanged	2.	Foreign exchange
  (C)	Hybrid of fixed and flexible exchange rate	3.	Foreign exchange rate
  (D)	Free exchange rate	4.	Managed floating exchange rate

  A)
  A - 1, B - 2, C - 3, D - 4 done clear
  B)
  A - 3, B - 1, C - 4, D - 2 done clear
  C)
  A - 4, B - 1, C - 2, D - 3 done clear
  D)
  A - 2, B - 3, C - 4, D - 1 done clear
  View Solution play_arrow

• question_answer30)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  (A)	Investments made by Indians abroad	1.	Supply of foreign exchange
  (B)	Rise in exports, fall in imports	2.	Decrease in national income
  (C)	Fall in exports, rise in imports	3.	Increase in national income
  (D)	Remittances from abroad	4.	Demand for foreign exchange

  A)
  A - 1, B - 4, C - 3, D - 2 done clear
  B)
  A - 4, B - 2, C - 1, D - 3 done clear
  C)
  A - 4, B - 3, C - 2, D - 1 done clear
  D)
  A - 1, B - 2, C - 3, D - 4 done clear
  View Solution play_arrow

• question_answer31)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  (A)	Purchase of Metro rail engine from Korea	1.	Supply of foreign exchange
  (B)	McDonald's opening new outlets in India	2.	Demand for foreign exchange
  (C)	RBI sells foreign exchange	3.	Related to protection
  (D)	Hedging function	4.	Brings down foreign exchange rate

  A)
  A - 2, B - 1, C - 4, D - 3 done clear
  B)
  A - 4, B - 2, C - 1, D - 3 done clear
  C)
  A - 1, B - 2, C - 3, D - 4 done clear
  D)
  A - 4, B - 3, C - 2, D - 1 done clear
  View Solution play_arrow

• question_answer32)
  Foreign exchange transactions which are independent on other foreign exchange transactions in the BoP are called:
  A)
  Current Account Transactions done clear
  B)
  Capital Account Transactions done clear
  C)
  Autonomous Transactions done clear
  D)
  Accommodating Transactions done clear
  View Solution play_arrow

• question_answer33)
  Balance of payments deficit is the excess of:
  A)
  current account payments over current account receipts done clear
  B)
  capital account payments over capital account receipts done clear
  C)
  autonomous payments over autonomous receipts done clear
  D)
  accommodating payments over accommodating receipts done clear
  View Solution play_arrow

• question_answer34)
  A company Located in India receives a loan from a company located abroad. How is his transaction recorded in India's balance of payments account?
  A)
  Credit side of current account done clear
  B)
  Debit side of current account done clear
  C)
  Credit side of capital account done clear
  D)
  Debit side of capital account done clear
  View Solution play_arrow

• question_answer35)
  An Indian company located in India invests in a company located abroad. This transaction is entered in India's balance of payments account on:
  A)
  credit side of current account done clear
  B)
  debit side of current account done clear
  C)
  credit side of capital account done clear
  D)
  debit side of capital account done clear
  View Solution play_arrow

• question_answer36)
  A systematic record of all economic transactions between residents of a country and the rest of the world during a year is called:
  A)
  balance of payments done clear
  B)
  foreign trade done clear
  C)
  balance of trade done clear
  D)
  X-M done clear
  View Solution play_arrow

• question_answer37)
  Export and import of goods is known as:
  A)
  invisible trade done clear
  B)
  visible trade done clear
  C)
  one sided transaction done clear
  D)
  unrequested transfer done clear
  View Solution play_arrow

• question_answer38)
  Balance of trade is measured as:
  A)
  difference between exports and imports of goods done clear
  B)
  difference between exports and imports of services done clear
  C)
  difference between imports and exports of capital done clear
  D)
  difference between all exports and all imports done clear
  View Solution play_arrow

• question_answer39)
  Disequilibrium in Balance of Payments (BoP) means:
  A)
  surplus balance of payments done clear
  B)
  deficit balance of payments done clear
  C)
  Both [a] and [b] done clear
  D)
  None of the above done clear
  View Solution play_arrow

• question_answer40)
  Balance of Trade (BoT) can be:
  A)
  surplus done clear
  B)
  deficit done clear
  C)
  balanced done clear
  D)
  All of these done clear
  View Solution play_arrow

• question_answer41)
  The difference between value of visible exports and value visible imports is called:
  A)
  BoP done clear
  B)
  BoT done clear
  C)
  balance of current account done clear
  D)
  balance of capital account. done clear
  View Solution play_arrow

• question_answer42)
  Which is/are the components) of BoP?
  A)
  Capital account done clear
  B)
  Current account done clear
  C)
  Both [a] and [b] done clear
  D)
  None of these done clear
  View Solution play_arrow

• question_answer43)
  Capital account of BoP items include:
  A)
  foreign investment done clear
  B)
  loans done clear
  C)
  NRI deposits with Indian banks done clear
  D)
  All of these done clear
  View Solution play_arrow

• question_answer44)
  If balance of trade is (-)  ` 500 crore and value of exports  ` 400 crore, then the value of imports will be:
  A)
  ` 1,300 crore done clear
  B)
  ` 300 crore done clear
  C)
  ` 900 crore done clear
  D)
  ` 1,200 crore done clear
  View Solution play_arrow

• question_answer45)
  If BoT is (-) ` 700 crore and value of exports is ` 500 crora then the value of imports will be:
  A)
  ` 1,200 crore      done clear
  B)
  ` 200 crore done clear
  C)
  ` 1,100 crore done clear
  D)
  ` 1,300 crore done clear
  View Solution play_arrow

• question_answer46)
  If Balance of Trade (BoT) deficit is (-) ` 6,000 crore and the value of imports is ` 8,000 crore, then the value of export will be:
  A)
  ` 2,000 crore done clear
  B)
  ` 14,000 crore done clear
  C)
  ` 9,000 crore done clear
  D)
  None of these done clear
  View Solution play_arrow

• question_answer47)
  The transactions which are taken to make equilibrium in BoF are called:
  A)
  autonomous transactions done clear
  B)
  accommodating transactions done clear
  C)
  economic transactions done clear
  D)
  None of the above done clear
  View Solution play_arrow

• question_answer48)
  Transfer of payment may be:
  A)
  grants in cash from foreign government done clear
  B)
  contributions from international organisation done clear
  C)
  donations done clear
  D)
  All of the above done clear
  View Solution play_arrow

• question_answer49)
  A country's BoT is ` 400 crores. Value of exports of goods is ` 550 crores, then the value of imports will be:
  A)
  ` 1,150 crore done clear
  B)
  ` 500 crore done clear
  C)
  ` 150 crore done clear
  D)
  None of these done clear
  View Solution play_arrow

• question_answer50)
  BoP is measured as:
  A)
  difference between visible items of exports and imports done clear
  B)
  difference between invisible items of exports and imports done clear
  C)
  difference between external and internal flow of gold done clear
  D)
  difference between all receipts of foreign exchange and payments of foreign exchange done clear
  View Solution play_arrow

• question_answer51)
  In which of the following categories are economic transactions of balance of trade recorded?
  A)
  Visible items done clear
  B)
  Invisible items done clear
  C)
  Capital transfers done clear
  D)
  All of these done clear
  View Solution play_arrow

• question_answer52)
  Autonomous items are related to those transactions which:
  A)
  are determined by motive of profit done clear
  B)
  are not concerned with the equilibrium status of BoP done clear
  C)
  Both [a] and [b] done clear
  D)
  None of the above done clear
  View Solution play_arrow

• question_answer53)
  Accommodating items are those items of BoP which:
  A)
  are not determined by profit motive done clear
  B)
  are conditioned by the positive or negative BoP status done clear
  C)
  deal with capital transfers only done clear
  D)
  Both [a] and [b] done clear
  View Solution play_arrow

• question_answer54)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  A.	Visible Exports > Visible Imports	1.	Balance of trade
  B.	Visible Exports = Visible Imports	2.	Surplus in balance of trade
  C.	Visible Exports < Visible Imports	3.	Balance in balance of trade
  D.	Visible Exports - Visible Imports	4.	Deficit in balance of trade

  A)
  A - 2, B - 3, C - 4, D - 1 done clear
  B)
  A - 1, B - 2, C - 3, D - 4 done clear
  C)
  A - 3, B - 4, C - 1, D - 2 done clear
  D)
  A - 4, B - 2, C - 1, D - 3 done clear
  View Solution play_arrow

• question_answer55)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  A.	Make in India Policy	1.	Accommodating items
  B.	Import of I-phone	2.	Autonomous items
  C.	Above the line items	3.	Inflow of foreign exchange
  D.	Below the line items	4.	Outflow of foreign exchange

  A)
  A - 4, B - 3, C - 1, D - 2 done clear
  B)
  A - 3, B - 2, C - 1, D - 4 done clear
  C)
  A - 3, B - 4, C - 2, D - 1 done clear
  D)
  A - 1, B - 4, C - 2, D - 3 done clear
  View Solution play_arrow

• question_answer56)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  A.	Records only visible items	1.	Balance of payments current account
  B.	Records both visible and invisible items	2.	Balance of payments capital account
  C.	Records change in asset	3.	Balance of trade and liability status

  A)
  A - 3, B - 1, C - 2 done clear
  B)
  A - 1, B - 2, C - 3 done clear
  C)
  A - 2, B - 3, C - 1 done clear
  View Solution play_arrow

• question_answer57)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  A.	When the value of export of goods and services is more than the value of import of goods and services.	1.	Current account deficit
  B.	When the value of export of goods and services is less than the value of import of goods and services.	2.	Current account surplus

  A)
  A - 1, B - 2 done clear
  B)
  A - 2, B - 1 done clear
  View Solution play_arrow

• question_answer58)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  A.	These items can take place on both current and capital accounts	1.	Stock concept
  B.	These items can take place only on capital accounts	2.	Flow concept
  C.	BoP current account	3.	Autonomous items
  D.	BoP capital account	4.	Accommodating items

  A)
  A - 2, B - 3, C - 1, D - 4 done clear
  B)
  A - 4, B - 1, C - 3, D - 2 done clear
  C)
  A - 3, B - 4, C - 2, D - 1 done clear
  D)
  A - 1, B - 2, C - 4, D - 3 done clear
  View Solution play_arrow

• question_answer59)
  Foreign exchange transactions dependent on other foreign exchange transactions are called:
  A)
  Current Account Transactions done clear
  B)
  Capital Account Transactions done clear
  C)
  Autonomous Transactions done clear
  D)
  Accommodating Transactions done clear
  View Solution play_arrow

• question_answer60)
  Foreign exchange transactions which are independent on other foreign exchange transactions in the BoP are called:
  A)
  Current Account Transactions done clear
  B)
  Capital Account Transactions done clear
  C)
  Autonomous Transactions done clear
  D)
  Accommodating Transactions done clear
  View Solution play_arrow

• question_answer61)
  Balance of payments deficit is the excess of:
  A)
  current account payments over current account receipts done clear
  B)
  capital account payments over capital account receipts done clear
  C)
  autonomous payments over autonomous receipts done clear
  D)
  accommodating payments over accommodating receipts done clear
  View Solution play_arrow

• question_answer62)
  A company Located in India receives a loan from a company located abroad. How is his transaction recorded in India's balance of payments account?
  A)
  Credit side of current account done clear
  B)
  Debit side of current account done clear
  C)
  Credit side of capital account done clear
  D)
  Debit side of capital account done clear
  View Solution play_arrow

• question_answer63)
  An Indian company located in India invests in a company located abroad. This transaction is entered in India's balance of payments account on:
  A)
  credit side of current account done clear
  B)
  debit side of current account done clear
  C)
  credit side of capital account done clear
  D)
  debit side of capital account done clear
  View Solution play_arrow

• question_answer64)
  A systematic record of all economic transactions between residents of a country and the rest of the world during a year is called:
  A)
  balance of payments done clear
  B)
  foreign trade done clear
  C)
  balance of trade done clear
  D)
  X-M done clear
  View Solution play_arrow

• question_answer65)
  Export and import of goods is known as:
  A)
  invisible trade done clear
  B)
  visible trade done clear
  C)
  one sided transaction done clear
  D)
  unrequested transfer done clear
  View Solution play_arrow

• question_answer66)
  Balance of trade is measured as:
  A)
  difference between exports and imports of goods done clear
  B)
  difference between exports and imports of services done clear
  C)
  difference between imports and exports of capital done clear
  D)
  difference between all exports and all imports done clear
  View Solution play_arrow

• question_answer67)
  Disequilibrium in Balance of Payments (BoP) means:
  A)
  surplus balance of payments done clear
  B)
  deficit balance of payments done clear
  C)
  Both [a] and [b] done clear
  D)
  None of the above done clear
  View Solution play_arrow

• question_answer68)
  Balance of Trade (BoT) can be:
  A)
  surplus done clear
  B)
  deficit done clear
  C)
  balanced done clear
  D)
  All of these done clear
  View Solution play_arrow

• question_answer69)
  The difference between value of visible exports and value visible imports is called:
  A)
  BoP done clear
  B)
  BoT done clear
  C)
  balance of current account done clear
  D)
  balance of capital account. done clear
  View Solution play_arrow

• question_answer70)
  Which is/are the components) of BoP?
  A)
  Capital account done clear
  B)
  Current account done clear
  C)
  Both [a] and [b] done clear
  D)
  None of these done clear
  View Solution play_arrow

• question_answer71)
  In current account, BoP items include:
  A)
  export and import of goods done clear
  B)
  export and import of services done clear
  C)
  receipts and payments of unilateral transfer done clear
  D)
  All of the above done clear
  View Solution play_arrow

• question_answer72)
  Capital account of BoP items include:
  A)
  foreign investment done clear
  B)
  loans done clear
  C)
  NRI deposits with Indian banks done clear
  D)
  All of these done clear
  View Solution play_arrow

• question_answer73)
  If balance of trade is (-)  ` 500 crore and value of exports  ` 400 crore, then the value of imports will be:
  A)
  ` 1,300 crore done clear
  B)
  ` 300 crore done clear
  C)
  ` 900 crore done clear
  D)
  ` 1,200 crore done clear
  View Solution play_arrow

• question_answer74)
  If BoT is (-) ` 700 crore and value of exports is ` 500 crora then the value of imports will be:
  A)
  ` 1,200 crore      done clear
  B)
  ` 200 crore done clear
  C)
  ` 1,100 crore done clear
  D)
  ` 1,300 crore done clear
  View Solution play_arrow

• question_answer75)
  If Balance of Trade (BoT) deficit is (-) ` 6,000 crore and the value of imports is ` 8,000 crore, then the value of export will be:
  A)
  ` 2,000 crore done clear
  B)
  ` 14,000 crore done clear
  C)
  ` 9,000 crore done clear
  D)
  None of these done clear
  View Solution play_arrow

• question_answer76)
  The transactions which are taken to make equilibrium in BoF are called:
  A)
  autonomous transactions done clear
  B)
  accommodating transactions done clear
  C)
  economic transactions done clear
  D)
  None of the above done clear
  View Solution play_arrow

• question_answer77)
  Transfer of payment may be:
  A)
  grants in cash from foreign government done clear
  B)
  contributions from international organisation done clear
  C)
  donations done clear
  D)
  All of the above done clear
  View Solution play_arrow

• question_answer78)
  A country's BoT is ` 400 crores. Value of exports of goods is ` 550 crores, then the value of imports will be:
  A)
  ` 1,150 crore done clear
  B)
  ` 500 crore done clear
  C)
  ` 150 crore done clear
  D)
  None of these done clear
  View Solution play_arrow

• question_answer79)
  BoP is measured as:
  A)
  difference between visible items of exports and imports done clear
  B)
  difference between invisible items of exports and imports done clear
  C)
  difference between external and internal flow of gold done clear
  D)
  difference between all receipts of foreign exchange and payments of foreign exchange done clear
  View Solution play_arrow

• question_answer80)
  In which of the following categories are economic transactions of balance of trade recorded?
  A)
  Visible items done clear
  B)
  Invisible items done clear
  C)
  Capital transfers done clear
  D)
  All of these done clear
  View Solution play_arrow

• question_answer81)
  Autonomous items are related to those transactions which:
  A)
  are determined by motive of profit done clear
  B)
  are not concerned with the equilibrium status of BoP done clear
  C)
  Both [a] and [b] done clear
  D)
  None of the above done clear
  View Solution play_arrow

• question_answer82)
  Accommodating items are those items of BoP which:
  A)
  are not determined by profit motive done clear
  B)
  are conditioned by the positive or negative BoP status done clear
  C)
  deal with capital transfers only done clear
  D)
  Both [a] and [b] done clear
  View Solution play_arrow

• question_answer83)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  A.	Visible Exports > Visible Imports	1.	Balance of trade
  B.	Visible Exports = Visible Imports	2.	Surplus in balance of trade
  C.	Visible Exports < Visible Imports	3.	Balance in balance of trade
  D.	Visible Exports - Visible Imports	4.	Deficit in balance of trade

  A)
  A - 2, B - 3, C - 4, D - 1 done clear
  B)
  A - 1, B - 2, C - 3, D - 4 done clear
  C)
  A - 3, B - 4, C - 1, D - 2 done clear
  D)
  A - 4, B - 2, C - 1, D - 3 done clear
  View Solution play_arrow

• question_answer84)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  A.	Make in India Policy	1.	Accommodating items
  B.	Import of I-phone	2.	Autonomous items
  C.	Above the line items	3.	Inflow of foreign exchange
  D.	Below the line items	4.	Outflow of foreign exchange

  A)
  A - 4, B - 3, C - 1, D - 2 done clear
  B)
  A - 3, B - 2, C - 1, D - 4 done clear
  C)
  A - 3, B - 4, C - 2, D - 1 done clear
  D)
  A - 1, B - 4, C - 2, D - 3 done clear
  View Solution play_arrow

• question_answer85)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  A.	Records only visible items	1.	Balance of payments current account
  B.	Records both visible and invisible items	2.	Balance of payments capital account
  C.	Records change in asset	3.	Balance of trade and liability status

  A)
  A - 3, B - 1, C - 2 done clear
  B)
  A - 1, B - 2, C - 3 done clear
  C)
  A - 2, B - 3, C - 1 done clear
  View Solution play_arrow

• question_answer86)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  A.	When the value of export of goods and services is more than the value of import of goods and services.	1.	Current account deficit
  B.	When the value of export of goods and services is less than the value of import of goods and services.	2.	Current account surplus

  A)
  A - 1, B - 2 done clear
  B)
  A - 2, B - 1 done clear
  View Solution play_arrow

• question_answer87)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  A.	These items can take place on both current and capital accounts	1.	Stock concept
  B.	These items can take place only on capital accounts	2.	Flow concept
  C.	BoP current account	3.	Autonomous items
  D.	BoP capital account	4.	Accommodating items

  A)
  A - 2, B - 3, C - 1, D - 4 done clear
  B)
  A - 4, B - 1, C - 3, D - 2 done clear
  C)
  A - 3, B - 4, C - 2, D - 1 done clear
  D)
  A - 1, B - 2, C - 4, D - 3 done clear
  View Solution play_arrow

• question_answer88)
  Foreign exchange transactions dependent on other foreign exchange transactions are called:
  A)
  Current Account Transactions done clear
  B)
  Capital Account Transactions done clear
  C)
  Autonomous Transactions done clear
  D)
  Accommodating Transactions done clear
  View Solution play_arrow

• question_answer89)
  Foreign exchange transactions which are independent on other foreign exchange transactions in the BoP are called:
  A)
  Current Account Transactions done clear
  B)
  Capital Account Transactions done clear
  C)
  Autonomous Transactions done clear
  D)
  Accommodating Transactions done clear
  View Solution play_arrow

• question_answer90)
  Balance of payments deficit is the excess of:
  A)
  current account payments over current account receipts done clear
  B)
  capital account payments over capital account receipts done clear
  C)
  autonomous payments over autonomous receipts done clear
  D)
  accommodating payments over accommodating receipts done clear
  View Solution play_arrow

• question_answer91)
  A company Located in India receives a loan from a company located abroad. How is his transaction recorded in India's balance of payments account?
  A)
  Credit side of current account done clear
  B)
  Debit side of current account done clear
  C)
  Credit side of capital account done clear
  D)
  Debit side of capital account done clear
  View Solution play_arrow

• question_answer92)
  An Indian company located in India invests in a company located abroad. This transaction is entered in India's balance of payments account on:
  A)
  credit side of current account done clear
  B)
  debit side of current account done clear
  C)
  credit side of capital account done clear
  D)
  debit side of capital account done clear
  View Solution play_arrow

• question_answer93)
  A systematic record of all economic transactions between residents of a country and the rest of the world during a year is called:
  A)
  balance of payments done clear
  B)
  foreign trade done clear
  C)
  balance of trade done clear
  D)
  X-M done clear
  View Solution play_arrow

• question_answer94)
  Export and import of goods is known as:
  A)
  invisible trade done clear
  B)
  visible trade done clear
  C)
  one sided transaction done clear
  D)
  unrequested transfer done clear
  View Solution play_arrow

• question_answer95)
  Balance of trade is measured as:
  A)
  difference between exports and imports of goods done clear
  B)
  difference between exports and imports of services done clear
  C)
  difference between imports and exports of capital done clear
  D)
  difference between all exports and all imports done clear
  View Solution play_arrow

• question_answer96)
  Disequilibrium in Balance of Payments (BoP) means:
  A)
  surplus balance of payments done clear
  B)
  deficit balance of payments done clear
  C)
  Both [a] and [b] done clear
  D)
  None of the above done clear
  View Solution play_arrow

• question_answer97)
  Balance of Trade (BoT) can be:
  A)
  surplus done clear
  B)
  deficit done clear
  C)
  balanced done clear
  D)
  All of these done clear
  View Solution play_arrow

• question_answer98)
  The difference between value of visible exports and value visible imports is called:
  A)
  BoP done clear
  B)
  BoT done clear
  C)
  balance of current account done clear
  D)
  balance of capital account. done clear
  View Solution play_arrow

• question_answer99)
  Which is/are the components) of BoP?
  A)
  Capital account done clear
  B)
  Current account done clear
  C)
  Both [a] and [b] done clear
  D)
  None of these done clear
  View Solution play_arrow

• question_answer100)
  Capital account of BoP items include:
  A)
  foreign investment done clear
  B)
  loans done clear
  C)
  NRI deposits with Indian banks done clear
  D)
  All of these done clear
  View Solution play_arrow

• question_answer101)
  If balance of trade is (-)  ` 500 crore and value of exports  ` 400 crore, then the value of imports will be:
  A)
  ` 1,300 crore done clear
  B)
  ` 300 crore done clear
  C)
  ` 900 crore done clear
  D)
  ` 1,200 crore done clear
  View Solution play_arrow

• question_answer102)
  If BoT is (-) ` 700 crore and value of exports is ` 500 crora then the value of imports will be:
  A)
  ` 1,200 crore      done clear
  B)
  ` 200 crore done clear
  C)
  ` 1,100 crore done clear
  D)
  ` 1,300 crore done clear
  View Solution play_arrow

• question_answer103)
  If Balance of Trade (BoT) deficit is (-) ` 6,000 crore and the value of imports is ` 8,000 crore, then the value of export will be:
  A)
  ` 2,000 crore done clear
  B)
  ` 14,000 crore done clear
  C)
  ` 9,000 crore done clear
  D)
  None of these done clear
  View Solution play_arrow

• question_answer104)
  The transactions which are taken to make equilibrium in BoF are called:
  A)
  autonomous transactions done clear
  B)
  accommodating transactions done clear
  C)
  economic transactions done clear
  D)
  None of the above done clear
  View Solution play_arrow

• question_answer105)
  Transfer of payment may be:
  A)
  grants in cash from foreign government done clear
  B)
  contributions from international organisation done clear
  C)
  donations done clear
  D)
  All of the above done clear
  View Solution play_arrow

• question_answer106)
  A country's BoT is ` 400 crores. Value of exports of goods is ` 550 crores, then the value of imports will be:
  A)
  ` 1,150 crore done clear
  B)
  ` 500 crore done clear
  C)
  ` 150 crore done clear
  D)
  None of these done clear
  View Solution play_arrow

• question_answer107)
  BoP is measured as:
  A)
  difference between visible items of exports and imports done clear
  B)
  difference between invisible items of exports and imports done clear
  C)
  difference between external and internal flow of gold done clear
  D)
  difference between all receipts of foreign exchange and payments of foreign exchange done clear
  View Solution play_arrow

• question_answer108)
  In which of the following categories are economic transactions of balance of trade recorded?
  A)
  Visible items done clear
  B)
  Invisible items done clear
  C)
  Capital transfers done clear
  D)
  All of these done clear
  View Solution play_arrow

• question_answer109)
  Autonomous items are related to those transactions which:
  A)
  are determined by motive of profit done clear
  B)
  are not concerned with the equilibrium status of BoP done clear
  C)
  Both [a] and [b] done clear
  D)
  None of the above done clear
  View Solution play_arrow

• question_answer110)
  Accommodating items are those items of BoP which:
  A)
  are not determined by profit motive done clear
  B)
  are conditioned by the positive or negative BoP status done clear
  C)
  deal with capital transfers only done clear
  D)
  Both [a] and [b] done clear
  View Solution play_arrow

• question_answer111)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  A.	Visible Exports > Visible Imports	1.	Balance of trade
  B.	Visible Exports = Visible Imports	2.	Surplus in balance of trade
  C.	Visible Exports < Visible Imports	3.	Balance in balance of trade
  D.	Visible Exports - Visible Imports	4.	Deficit in balance of trade

  A)
  A - 2, B - 3, C - 4, D - 1 done clear
  B)
  A - 1, B - 2, C - 3, D - 4 done clear
  C)
  A - 3, B - 4, C - 1, D - 2 done clear
  D)
  A - 4, B - 2, C - 1, D - 3 done clear
  View Solution play_arrow

• question_answer112)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  A.	Make in India Policy	1.	Accommodating items
  B.	Import of I-phone	2.	Autonomous items
  C.	Above the line items	3.	Inflow of foreign exchange
  D.	Below the line items	4.	Outflow of foreign exchange

  A)
  A - 4, B - 3, C - 1, D - 2 done clear
  B)
  A - 3, B - 2, C - 1, D - 4 done clear
  C)
  A - 3, B - 4, C - 2, D - 1 done clear
  D)
  A - 1, B - 4, C - 2, D - 3 done clear
  View Solution play_arrow

• question_answer113)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  A.	Records only visible items	1.	Balance of payments current account
  B.	Records both visible and invisible items	2.	Balance of payments capital account
  C.	Records change in asset	3.	Balance of trade and liability status

  A)
  A - 3, B - 1, C - 2 done clear
  B)
  A - 1, B - 2, C - 3 done clear
  C)
  A - 2, B - 3, C - 1 done clear
  View Solution play_arrow

• question_answer114)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  A.	When the value of export of goods and services is more than the value of import of goods and services.	1.	Current account deficit
  B.	When the value of export of goods and services is less than the value of import of goods and services.	2.	Current account surplus

  A)
  A - 1, B - 2 done clear
  B)
  A - 2, B - 1 done clear
  View Solution play_arrow

• question_answer115)
  From the following statements given in Column I and Column II, choose the correct pair of statements:

  Column I		Column II
  A.	These items can take place on both current and capital accounts	1.	Stock concept
  B.	These items can take place only on capital accounts	2.	Flow concept
  C.	BoP current account	3.	Autonomous items
  D.	BoP capital account	4.	Accommodating items

  A)
  A - 2, B - 3, C - 1, D - 4 done clear
  B)
  A - 4, B - 1, C - 3, D - 2 done clear
  C)
  A - 3, B - 4, C - 2, D - 1 done clear
  D)
  A - 1, B - 2, C - 4, D - 3 done clear
  View Solution play_arrow