Which of the Following Is Correct with Respect to a Bank

question 57

Multiple Choice

Which of the following is correct with respect to a bank customer's duty to discover and report unauthorized signatures?

• A) The bank is liable on all items with unauthorized signatures even if these canceled checks were returned to the customer four years prior to the discovery of the alterations.
• B) The customer is required to exercise reasonable care and promptness to examine the bank statement.
• C) A customer's duty of examination includes checking the signatures of payees or indorsers.
• D) The bank is not required to exercise ordinary care in paying the items.

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Definitions:

Polysaccharide

A complex carbohydrate composed of long chains of monosaccharide units bound together by glycosidic linkages, serving various structural and energy storage roles in living organisms.

Cellulose

Cellulose is an organic compound and a polysaccharide consisting of a linear chain of several hundred to many thousands of β(1→4) linked D-glucose units, primarily found in the cell walls of plants.

Hydrogen Bonding

Hydrogen bonding is a type of weak chemical bond that occurs when a hydrogen atom that is covalently bonded to a highly electronegative atom, such as oxygen or nitrogen, experiences attraction to another electronegative atom.

Secondary Structure

The secondary structure of proteins involves the local folding or coiling of the peptide chain into structures such as alpha-helices and beta-sheets, primarily stabilized by hydrogen bonds.