The balance of payments consists of the current account, capital account, and financial account. Which of the following is true about these accounts?
1. The current account includes trade in goods and services, income, and current transfers.
2. A surplus in the capital account indicates more financial inflows than outflows.
3. The financial account records changes in foreign ownership of domestic assets.
4. A deficit in the current account can be offset by a surplus in the capital account.