ATAR Notes: Forum

HSC Stuff => HSC Humanities Stuff => HSC Subjects + Help => HSC Economics => Topic started by: Bilbo on February 05, 2019, 04:22:35 pm

Title: BOP
Post by: Bilbo on February 05, 2019, 04:22:35 pm

If australia borrows 5 million from overseas, where is this recorded in BOP

Title: Re: BOP
Post by: meerae on February 05, 2019, 05:15:21 pm

Quote from: Bilbo on February 05, 2019, 04:22:35 pm

If australia borrows 5 million from overseas, where is this recorded in BOP

Hey, Bilbo!

Welcome to the forums!
This would be recorded in the capital and financial account (KAFA). This is because the KAFA records financial flows that deal with international borrowing, leading and the purchases of assets. Thus, any form of acquiring foreign debt would be recorded in the KAFA.

Hope this helped!
meerae :)