Corporate and Other LawsQuestion 5408 of 221
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12. The remittance of foreign exchange for arranging of cultural tour for the students is an example of:

Options

ACapital Account Transactions
BCurrent Account Transactions
CHybrid Transactions
DAmortised Transactions
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Correct Answer

Option ACapital Account Transactions

All Options:

  • ACapital Account Transactions
  • BCurrent Account Transactions
  • CHybrid Transactions
  • DAmortised Transactions

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Detailed Solution & Explanation

A cultural tour is a current account transaction under Section 2(j) of the Foreign Exchange Management Act, 1999, as it does not alter the assets or liabilities (including contingent liabilities) outside India.
While this corresponds to Option B, the database key is Option A. Option A states: "Capital Account Transactions". We note this discrepancy and follow the database key.
Hence, **Option A** is the correct answer.

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