If a Stop Payment Is Placed on a Check,the Bank

question 61

Multiple Choice

If a stop payment is placed on a check,the bank will:

• A) require the payee to pay a fee to cash the check
• B) contact the payer for permission before transferring cash to the payee
• C) refuse to honor the check
• D) freeze the account of the payee

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Definitions:

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An American stock market index based on the market capitalizations of 500 large companies having common stock listed on the NYSE or NASDAQ.

S&P 500 Future

A futures contract that bets on the future value of the S&P 500 index, a major American stock market index.

Mispricing

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A form of business partnership where some or all partners have limited liability, protecting them from some or all of the partnership's debts and liabilities.