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CBSE 2023 Class 12 Economics Delhi Set 1
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Question : 15 of 49
Marks:
+1,
-0
Giving valid reasons, state whether the following statements are true or false : (i) Dividend received from investment abroad is recorded on the credit side of the capital account. (ii) Depreciation of the Indian Currency will lead to promotion of Indian exports.
Solution:
(i) False Reason: Dividend received from investment abroad is a factor income from abroad and will be recorded on credit side of the current account. (ii) True Reason: Depreciation of Indian currency leads to increase in purchasing power of foreign currency. Domestically produced goods become cheaper for foreign country. It leads to increase in Indian exports.
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