If a Bank Pays a Check Whose Face Has Been

question 9

Multiple Choice

If a bank pays a check whose face has been altered to increase the amount above that which the drawer intended to pay, the bank:

• A) is liable to the drawer for the amount of the increase.
• B) is liable to the drawer for the full amount of the check.
• C) incurs liability only if it failed to examine the check before payment.
• D) incurs liability only if the drawer made the alteration.

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Definitions:

Energy

The capacity to do work, or the power derived from the utilization of physical or chemical resources to provide light, heat, or to work machines.

Conversion

The act or process of changing or causing something to change from one form to another, in various contexts such as religion, energy, or digital data.

Nervous System

The network of nerve cells and fibers that transmits nerve impulses between parts of the body.

Sensation

The process by which our sensory receptors and nervous system receive stimuli from our environment, an initial step in perception.