Commerce Exam > Commerce Questions > Directions: In the following questions, a st...
Start Learning for Free
Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:
Assertion (A): Autonomous items cause movements of goods and services across the borders.
Reason (R): Accommodating items to clear the deficit or surplus in the Balance of Payment.
- a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).
- b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).
- c)Assertion (A) is true but reason (R) is false.
- d)Assertion (A) is false but reason (R) is true.
Correct answer is option 'B'. Can you explain this answer?
| FREE This question is part of | Download PDF Attempt this Test |
Verified Answer
Directions: In the following questions, a statement of assertion (A) ...
Autonomous items refers to those Balance of Payment (BOP) transactions which are undertaken for profit.
View all questions of this test
Most Upvoted Answer
Directions: In the following questions, a statement of assertion (A) ...
Assertion (A): Autonomous items cause movements of goods and services across the borders.
Reason (R): Accommodating items to clear the deficit or surplus in the Balance of Payment.
The correct answer is option 'B' - Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).
Explanation:
Autonomous items: Autonomous items in the Balance of Payments (BoP) refer to transactions that are not influenced by economic policy measures. These transactions are driven by market forces and include imports, exports, and investments in goods, services, and assets.
Movements of goods and services across borders: Autonomous items, such as imports and exports, directly involve the movement of goods and services across borders. Imports refer to goods and services purchased from foreign countries, while exports refer to goods and services sold to foreign countries.
Balance of Payments (BoP): The Balance of Payments is a record of all economic transactions between the residents of a country and the rest of the world over a specific period. It consists of two main components: the current account and the capital account. The current account records transactions related to trade in goods and services, income receipts, and unilateral transfers, while the capital account records transactions involving financial assets and liabilities.
Deficit or surplus in the Balance of Payment: The balance of payments can be in deficit or surplus depending on the value of imports and exports, as well as other autonomous transactions. A deficit occurs when the value of imports exceeds the value of exports, resulting in a net outflow of currency. Conversely, a surplus occurs when the value of exports exceeds the value of imports, resulting in a net inflow of currency.
Explanation of the assertion and reason:
The assertion states that autonomous items cause movements of goods and services across borders, which is true. Imports and exports, which are autonomous items, involve the physical movement of goods and services across international borders.
The reason states that accommodating items to clear the deficit or surplus in the Balance of Payment, which is not the correct explanation of the assertion. While it is true that deficit or surplus in the Balance of Payment can be addressed by accommodating items, such as borrowing or lending, it does not directly explain the movement of goods and services across borders.
Conclusion:
Therefore, both the assertion and reason are true, but the reason is not the correct explanation of the assertion. Hence, the correct answer is option 'B'.
Reason (R): Accommodating items to clear the deficit or surplus in the Balance of Payment.
The correct answer is option 'B' - Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).
Explanation:
Autonomous items: Autonomous items in the Balance of Payments (BoP) refer to transactions that are not influenced by economic policy measures. These transactions are driven by market forces and include imports, exports, and investments in goods, services, and assets.
Movements of goods and services across borders: Autonomous items, such as imports and exports, directly involve the movement of goods and services across borders. Imports refer to goods and services purchased from foreign countries, while exports refer to goods and services sold to foreign countries.
Balance of Payments (BoP): The Balance of Payments is a record of all economic transactions between the residents of a country and the rest of the world over a specific period. It consists of two main components: the current account and the capital account. The current account records transactions related to trade in goods and services, income receipts, and unilateral transfers, while the capital account records transactions involving financial assets and liabilities.
Deficit or surplus in the Balance of Payment: The balance of payments can be in deficit or surplus depending on the value of imports and exports, as well as other autonomous transactions. A deficit occurs when the value of imports exceeds the value of exports, resulting in a net outflow of currency. Conversely, a surplus occurs when the value of exports exceeds the value of imports, resulting in a net inflow of currency.
Explanation of the assertion and reason:
The assertion states that autonomous items cause movements of goods and services across borders, which is true. Imports and exports, which are autonomous items, involve the physical movement of goods and services across international borders.
The reason states that accommodating items to clear the deficit or surplus in the Balance of Payment, which is not the correct explanation of the assertion. While it is true that deficit or surplus in the Balance of Payment can be addressed by accommodating items, such as borrowing or lending, it does not directly explain the movement of goods and services across borders.
Conclusion:
Therefore, both the assertion and reason are true, but the reason is not the correct explanation of the assertion. Hence, the correct answer is option 'B'.
Attention Commerce Students!
To make sure you are not studying endlessly, EduRev has designed Commerce study material, with Structured Courses, Videos, & Test Series. Plus get personalized analysis, doubt solving and improvement plans to achieve a great score in Commerce.
|
Explore Courses for Commerce exam
|
|
Similar Commerce Doubts
Top Courses for CommerceView all
Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Autonomous items cause movements of goods and services across the borders.Reason (R): Accommodating items to clear the deficit or surplus in the Balance of Payment.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'B'. Can you explain this answer?
Question Description
Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Autonomous items cause movements of goods and services across the borders.Reason (R): Accommodating items to clear the deficit or surplus in the Balance of Payment.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'B'. Can you explain this answer? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Autonomous items cause movements of goods and services across the borders.Reason (R): Accommodating items to clear the deficit or surplus in the Balance of Payment.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Autonomous items cause movements of goods and services across the borders.Reason (R): Accommodating items to clear the deficit or surplus in the Balance of Payment.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'B'. Can you explain this answer?.
Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Autonomous items cause movements of goods and services across the borders.Reason (R): Accommodating items to clear the deficit or surplus in the Balance of Payment.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'B'. Can you explain this answer? for Commerce 2024 is part of Commerce preparation. The Question and answers have been prepared according to the Commerce exam syllabus. Information about Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Autonomous items cause movements of goods and services across the borders.Reason (R): Accommodating items to clear the deficit or surplus in the Balance of Payment.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for Commerce 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Autonomous items cause movements of goods and services across the borders.Reason (R): Accommodating items to clear the deficit or surplus in the Balance of Payment.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'B'. Can you explain this answer?.
Solutions for Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Autonomous items cause movements of goods and services across the borders.Reason (R): Accommodating items to clear the deficit or surplus in the Balance of Payment.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'B'. Can you explain this answer? in English & in Hindi are available as part of our courses for Commerce.
Download more important topics, notes, lectures and mock test series for Commerce Exam by signing up for free.
Here you can find the meaning of Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Autonomous items cause movements of goods and services across the borders.Reason (R): Accommodating items to clear the deficit or surplus in the Balance of Payment.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'B'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of
Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Autonomous items cause movements of goods and services across the borders.Reason (R): Accommodating items to clear the deficit or surplus in the Balance of Payment.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'B'. Can you explain this answer?, a detailed solution for Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Autonomous items cause movements of goods and services across the borders.Reason (R): Accommodating items to clear the deficit or surplus in the Balance of Payment.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'B'. Can you explain this answer? has been provided alongside types of Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Autonomous items cause movements of goods and services across the borders.Reason (R): Accommodating items to clear the deficit or surplus in the Balance of Payment.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'B'. Can you explain this answer? theory, EduRev gives you an
ample number of questions to practice Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as:Assertion (A): Autonomous items cause movements of goods and services across the borders.Reason (R): Accommodating items to clear the deficit or surplus in the Balance of Payment.a)Both assertion (A) and reason (R) are true and reason (R) is the correct explanation of assertion (A).b)Both assertion (A) and reason (R) are true but reason (R) is not the correct explanation of assertion (A).c)Assertion (A) is true but reason (R) is false.d)Assertion (A) is false but reason (R) is true.Correct answer is option 'B'. Can you explain this answer? tests, examples and also practice Commerce tests.
|
|
Explore Courses for Commerce exam
|
|
Suggested Free Tests
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
|
© EduRev
|
Education Revolution
|
Follow Us
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup