The import of machinery recorded in the ……………. account and borrowing from abroad are recorded in the ………………. Account
A(current ,capital)
B(capital and current)
C(capital capital)
D(current current)
Anurag Pathak Answered question August 25, 2021
Ans – A)
Import of Machinery is the visible items hence recorded as the outflow at the debit side of the current account.
On the other hand, borrowing from abroad is a financial transaction that increases the financial liabilities and is recorded as the inflow at the credit side of the capital account.
Anurag Pathak Answered question August 25, 2021