Payment for import of goods is recorded in the side of the Current account of the Balance of Pa...........

Economics (CUET) Balance of Payments

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Payment for import of goods is recorded in the_____________side of the Current account of the Balance of Payments.

Debit

Credit

Both (1) and (2)

None of these

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Explanation:

Option (1) is correct.
Explanation: A major part of transactions in foreign trade is in the form of export and import of goods (visible items). Payment for import of goods is written on the negative side (debit items) and receipt from exports is shown on the positive side (credit items). Balance of these visible exports and imports is known as balance of trade (or trade balance).