Question

Assertion (A): Export of goods and services from India to the US would mean an outflow of foreign exchange from India.

Reason (R): Foreign exchange in terms of receipts for exports flows from the US to India.

Options

• Both Assertion (A) and Reason (R) are true, and Reason (R) is the correct explanation of the Assertion (A).

• Both Assertion (A) and Reason (R) are true, but Reason (R) is not the correct explanation of the Assertion (A).

• Assertion (A) is true, but Reason (R) is false

• Assertion (A) is false, but Reason (R) is true.

Answer 1

Assertion (A) is false, but Reason (R) is true.

Explanation:

The export of goods and services from India to the United States would result in a foreign exchange inflow into India.