CIPS A6 Exam - Topic 3 Question 65 Discussion

Actual exam question for CIPS's A6 exam

Question #: 65
Topic #: 3

[All A6 Questions]

Which of the following headings would appear in the current account of a country's alance of payments? (2 marks)

ATransactions in goods and services

BTransactions in external assets and liabilities

CTransactions in large sums of money

DTransactions in stocks and shares

Show Suggested Answer

Suggested Answer: A

by Carli at Sep 15, 2024, 01:27 AM

Limited Time Offer

25%

Off

Get Premium A6 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Marguerita

6 months ago

Totally agree with A, it covers the essentials!

upvoted 0 times

...

Kenda

6 months ago

Wait, are we sure about A? Seems too simple.

upvoted 0 times

...

Chauncey

6 months ago

A is the only correct answer here, the rest don’t belong.

upvoted 0 times

...

Frederic

7 months ago

I think B is also relevant, but not for the current account.

upvoted 0 times

...

Dalene

7 months ago

Definitely A! That's a classic current account item.

upvoted 0 times

...

Luis

7 months ago

I feel like transactions in stocks and shares wouldn't be in the current account, but I can't recall if large sums of money are included.

upvoted 0 times

...

Dalene

7 months ago

I'm a bit confused about what counts as "external assets and liabilities." Is that part of the current account or the capital account?

upvoted 0 times

...

Cathrine

7 months ago

I remember practicing a question like this, and I think option A is definitely correct. The others seem more related to the capital account.

upvoted 0 times

...

Lyndia

8 months ago

I think the current account includes transactions in goods and services, but I'm not entirely sure about the other options.

upvoted 0 times

...

Madalyn

8 months ago

Wait, what's the difference between the current account and the capital account again? I need to make sure I don't mix those up in my answer.

upvoted 0 times

...

Ora

8 months ago

Hmm, I'm a bit unsure about this one. The balance of payments can be tricky, with all the different accounts and transactions. I'll need to think this through carefully.

upvoted 0 times

...

Kimberely

8 months ago

This looks like a straightforward question on the components of a country's balance of payments. I'll focus on the key headings in the current account.

upvoted 0 times

...

Santos

8 months ago

Okay, I've got this. The current account includes transactions in goods and services, as well as external assets and liabilities. I'll select the two relevant options.

upvoted 0 times

...

Alfred

2 years ago

I don't know, guys. This question seems a little too easy. Are they trying to trick us or something? I'm still gonna go with A though.

upvoted 0 times

...

Chana

2 years ago

D? Stocks and shares? That's gotta be the investment account, not the current account. Nice try, but I'm picking A.

upvoted 0 times

Elly

2 years ago

So, we're both going with A) then. Good choice!

upvoted 0 times

...

Marsha

2 years ago

Definitely not D) Transactions in stocks and shares, that's for investments.

upvoted 0 times

...

Kattie

2 years ago

I agree, that sounds right. It's all about the trade balance.

upvoted 0 times

...

Adela

2 years ago

I think A) Transactions in goods and services would appear in the current account.

upvoted 0 times

...

Kathrine

2 years ago

C is just too vague. I'm gonna go with A, that seems like the most specific and accurate option.

upvoted 0 times

Virgina

2 years ago

Yeah, A makes the most sense for the current account of a country's balance of payments.

upvoted 0 times

...

Lajuana

2 years ago

I agree, A is more specific and related to the current account.

upvoted 0 times

...

Dean

2 years ago

I think A is the right answer too. It's about goods and services.

upvoted 0 times

...

Royce

2 years ago

I think B is the way to go. Doesn't the current account include external assets and liabilities?

upvoted 0 times

Micaela

2 years ago

I'm not sure, but I think B might be correct. It mentions external assets and liabilities.

upvoted 0 times

...

Whitney

2 years ago

I agree with Whitney. A sounds like the right choice.

upvoted 0 times

...

Hermila

2 years ago

I think A is the correct answer. It includes transactions in goods and services.

upvoted 0 times

...

Desmond

2 years ago

I'm not sure about that. I think it could also include 'Transactions in external assets and liabilities'.

upvoted 0 times

...

Gary

2 years ago

I agree with Fletcher. The current account includes trade in goods and services, so that makes sense.

upvoted 0 times

...

Chan

2 years ago

A has to be the correct answer. The current account tracks transactions in goods and services, right?

upvoted 0 times

Lauran

2 years ago

I agree, it provides valuable information for policymakers and analysts.

upvoted 0 times

...

Barney

2 years ago

Definitely, it helps to understand the economic health of a country.

upvoted 0 times

...

Rickie

2 years ago

That makes sense. It's important to keep track of those transactions.

upvoted 0 times

...

Valentine

2 years ago

Yes, A is the correct answer. The current account tracks transactions in goods and services.

upvoted 0 times

...

Fletcher

2 years ago

I think the heading 'Transactions in goods and services' would appear in the current account.

upvoted 0 times

...