Statement A is correct: The balance of payment records the transaction in goods, services, and assets between residents (and not governments) of one country with the rest of the world. Statement B is incorrect: This describes only the Balance of Trade, not the full BoP. Statement C is incorrect: BoP covers all residents (individuals, firms, institutions), not just governments. Statement D is incorrect: Capital account is only one component of BoP; it also includes current account and errors & omissions.