Martin Borrows $15, 000 from Tom, in the Form of a Check

question 28

Multiple Choice

Martin borrows $15, 000 from Tom, in the form of a check, and signs a promissory note, promising to pay Tom this amount plus 10 percent interest in one year.Tom indorses the note and negotiates it to Fronston.Fronston indorses the note and negotiates it to Liza.Liza presents the note to Martin for payment when the note is due.Martin refuses to pay the note.Who is secondarily liable to pay Liza?

• A)Tom
• B)Frontston
• C)all liabilities lie with Martin
• D)the bank that issued the check to Tom

---

Definitions:

Economic Viability

The ability of an entity or activity to sustain itself financially over the long term.

Alternatives

Different options or choices available in a given situation, often considered when making decisions.

Reducing Cost

Measures taken to decrease the costs associated with the production or delivery of goods and services.

Modernization

The process of adopting the latest technology, organizational practices, or societal norms, aiming at improving efficiency and effectiveness.