Which of the following are the part of Balance of Payments (BOP)?

1. Balance of Current Account (balance of trade in goods, services, transfer payments like remittances and interest payment).

2. Balance of Capital Account (investment and borrowing). In fact, the rest of the BOP, excluding investment and borrowing, is the current account.

Select the correct answer using the code given below:

1
1 only
2
2 only
3
Both 1 and 2
4
Neither 1 nor 2

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