Which of the following statement is true?

• Visible item's transaction in balance of payment includes export and import of physical goods.
• Unilateral transfers includes purchase agreements of various companies in different countries.
• Capital transfers are related to capital receipts i.e. purchase of loan and capital payments i.e. sale of assets.

Only 1

The correct answer is option 1: Only 1

Let's evaluate each statement:

1. Visible item's transaction in balance of payment includes export and import of physical goods. True. Visible items in the Balance of Payments (BoP) refer to physical goods that are exported and imported. This is part of the balance of trade.

2. Unilateral transfers includes purchase agreements of various companies in different countries. False. Unilateral transfers involve one-way transfers of money (e.g., remittances, foreign aid) and do not include purchase agreements of companies. Purchase agreements would be recorded under transactions related to capital flows or current account transactions.

3. Capital transfers are related to capital receipts i.e. purchase of loan and capital payments i.e. sale of assets.,False. Capital transfers include transfers of ownership of assets or financial claims, but the purchase of loans and sale of assets are typically recorded in the capital account or financial account, not specifically as capital transfers.