Which of the following statements accurately describe the balance of payments identity and its implications under fixed and flexible exchange rate regimes? Select all that apply. Which of the following statements accurately describe the balance of payments identity and its implications under fixed and flexible exchange rate regimes? Select all that apply. Balance of Payments Identity: The combined balance on the current, capital, and financial accounts should equal the change in official reserves, expressed as BCA + BKA + BFA = - BRA. Trade Balance Independence: In a fixed exchange rate regime, the trade balance (part of BCA) is independent of capital flows and official reserve transactions. Implications Under Flexible Exchange Rate: Under a pure flexible exchange rate regime, central banks do not engage in official reserve transactions, making BRA close to zero, so BCA + BFA = - BKA. Implications Under Fixed Exchange Rate: Under a fixed exchange rate regime, a country can have a balance of payments (BOP) surplus or deficit, which is managed by central bank interventions via official reserve transactions