Select all that are true regarding the balance of payments accounting:

		The translation of financial reports across different currencies has a re-equlibrating effect on the CA and FA (i.e. the BOP)
		In a perfectly flexible (freely floating) exchange rate system, there is no need for foreign reserves if world political economies are stable and trade is relatively free
		When multinational firms use the FX rate for translation, this helps correct (move towards equilibrium) the BOP.
		A current account deficit allows a country to "live" beyond its means by borrowing from the rest of the world (trading partners)
		A financial account deficit suggest that the country is increasing its debt (domestic borrowing)
		In a fixed exchange rate system the current and financial accounts will exactly offset since the exchange rate does not move