Assets related to international investments are recorded in which account?

The financial account is the correct choice because it specifically records transactions that involve the purchase and sale of financial assets and liabilities across borders, including investments. This account captures changes in ownership of financial assets, such as stocks, bonds, and real estate, as well as direct investments by foreign entities. The financial account is essential for tracking how capital is flowing in and out of a country, making it integral to international financial reporting.

In contrast, the current account focuses on trade in goods and services, along with income received from abroad and current transfers. The capital account, though sometimes included in a broader classification when discussing overall balance of payments, generally deals with capital transfers and the acquisition/disposal of non-produced, non-financial assets. The trade account is limited specifically to imports and exports of goods and services, therefore not encompassing the broader spectrum of international investments.