Sophie Issues a Promissory Note Made "Payable to the Order

question 22

Multiple Choice

Sophie issues a promissory note made "payable to the order of Molly." Molly indorses the note by signing her name and gives the note to Dana.Which of the following is correct?

• A) Sophie issued a bearer instrument and Molly kept it in bearer form.
• B) Sophie issued an order instrument, but Molly changed it to bearer form.
• C) Sophie issued an order instrument and Molly kept it in order form.
• D) Sophie issued a bearer instrument and Molly changed it to order form.