An Instrument Is Negotiable If It Satisfies Six Standards

question 27

Multiple Choice

An instrument is negotiable if it satisfies six standards.Which of the following is a standard of negotiability?

• A)The instrument can be oral provided there is proof beyond a reasonable doubt.
• B)The instrument must be signed by the payee.
• C)The instrument must be conditional.
• D)The instrument must state a definite sum of money.

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Definitions:

Response

Reaction or answer to a question, situation, stimulation, or environmental change, often analyzed in contexts such as surveys, experiments, or market changes.

Federal Reserve

America's leading banking institution in charge of regulating monetary policy.

Control

The power to influence or direct people's behavior or the course of events.

District Banks

Regional banks within the Federal Reserve System of the United States that operate in specific geographic areas.