The explanation of the term balance of international payments is as follows:

The concept of balance of payments: in a narrow sense, the sum of foreign exchange receipts and payments within a certain period of time. Broadly speaking, it refers to all economic transaction flows and the stock of external financial assets and liabilities that occur between an economy and other economies.

The balance of payments (term explanation): reflects all economic transactions that occurred between a country or region and other countries or regions in the world during a specific period. It is equivalent to a statement of changes in the financial status of an enterprise, reflecting is the transaction flow situation.

The meaning of the balance of payments: The balance of payments is a statistic that reflects all external economic transactions of an economic entity in a certain period of time (annual, half-year or quarter) expressed in monetary units. surface. It is the external manifestation of the balance of payments.

Principles of preparation of the balance of payments:

The balance of payments is prepared according to the principle of double-entry accounting. All income items or items with an increase in liabilities or a decrease in assets are listed as credits, represented by a "+" sign; all expenditure items or items with an increase in assets or a decrease in liabilities are listed as debits, represented by a "-" sign. When income is greater than expenditure, the difference is positive and is called a surplus; when expenditure is greater than income, the difference is negative and is called deficit.

The principles and principles of the balance of payments:

The balance of payments is a statistic that reflects the economic transactions between a country or region and other countries or regions in the world within a certain period of time. Report.

The preparation follows the following principles and principles:

1. The principle of double-entry accounting - if there is a debit, there must be a credit, and if there is a debit, there must be an equal amount.

2. Accrual basis principle - the recording date is based on the date of change of ownership of goods, services and finance, regardless of whether cash has been received/paid, or cash will be received/paid in the future.

3. Market price principle - recorded according to the market price at the time of transaction.

4. The principle of single accounting currency - all accounting units must be converted into the same currency unit.