What Is the Importance of Placing the Words "Order" or "Bearer

question 47

Essay

What is the importance of placing the words "order" or "bearer" on an instrument?

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Definitions:

Equal Installments

A method of loan repayment where the borrower pays the lender a constant amount of money periodically, covering both principle and interest.

Repay

The action of paying back borrowed money to the lender.

Compounded Annually

Describes the method where the interest earned in one period is added to the principal sum, and the total becomes the basis for calculating interest in the next period, done once a year.

Start Business

The process of establishing a new enterprise or venture, involving planning, financing, and legal considerations.