Which of the Following Actions Renders All Parties as Discharged

question 69

Multiple Choice

Which of the following actions renders all parties as discharged from liability to a negotiable instrument?

• A)when the instrument is presented for payment
• B)when the signature of the indorser is intentionally struck out
• C)when the instrument is accidentally destroyed or mutilated
• D)when a drawee in good faith pays an unaccepted instrument in full to the holder

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Definitions:

Stock Price

The current price at which a share of a company is being bought or sold in the stock market.

Exercise Price

The price at which the holder of an option can buy (in the case of a call) or sell (in the case of a put) the underlying security or commodity.

Time Value

The portion of an option's price that exceeds its intrinsic value, reflecting the potential for further gain in value due to the remaining time until expiration.

At-The-Money

A term used in options trading to describe an option whose strike price is identical to the current market price of the underlying asset.