Which of the Following Statements Is Not True If a Check

question 11

Multiple Choice

Which of the following statements is not true if a check is certified by a bank?

• A) The refusal of the bank to certify the check is a type of dishonor.
• B) The drawer is not liable if the drawer has the check certified.
• C) The drawer is not liable if a holder has the check certified.
• D) All persons who indorsed the check before certification are discharged by certification.
• E) The bank must indicate on the face of the check that the check is certified.

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Definitions:

Economic Profit

The difference between the total revenue earned by a business and the total costs, including both explicit and implicit costs.

ATC

Average Total Cost, which is the total cost divided by the quantity of output produced, indicating the per-unit cost of production.

Profit-Maximizing

The strategy or approach that a firm adopts aiming to achieve the highest possible profit from its operations, considering all variables and constraints.

Profit-Maximizing

The process or strategy of setting production levels or prices to achieve the highest possible profit.