Which of the Following Is True About Primary Liability on a Check

question 44

Multiple Choice

Which of the following is true about primary liability on a check?

• A) No one has primary liability on a check when it is written, and no one can have primary liability until it is paid.
• B) No one has primary liability on a check when it is written, but the drawee incurs primary liability if the check becomes certified.
• C) No one has primary liability on a check when it is written, but the drawer incurs primary liability if the check is certified.
• D) The drawee has primary liability when the check is written.
• E) The drawer has primary liability when the check is written.

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Definitions:

EPS Growth Rate

The percentage change in a company's Earnings Per Share (EPS) over a specified period, indicating the company's profitability growth.

Rate of Return

The gain or loss of an investment over a specified period, expressed as a percentage of the investment's cost.

NPVGO

NPVGO (Net Present Value of Growth Opportunities) is a financial metric assessing the value of future investment opportunities, calculated as the net present value of projected cash flows from those investments.

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