Current account surplus arises when :
Answer & explanation
Correct answer: option 1
The correct answer is option (1) : Receipts > Payments
This means that a country's receipts from exports of goods and services, income from abroad, and unilateral transfers (like foreign aid) exceed its payments for imports of goods and services, income paid abroad, and unilateral transfers sent abroad. When receipts exceed payments in the current account, the country has a current account surplus.