Ricardo Is the Holder of a Check That Contains the Indorsement

question 14

Multiple Choice

Ricardo is the holder of a check that contains the indorsement "Without Recourse, (signed) Mary Roberts." This indorsement:

• A) makes further indorsement impossible.
• B) requires a special indorsement by the transferee.
• C) limits the liability of Mary Roberts.
• D) limits the liability of all subsequent holders, including Ricardo.

---

Definitions:

Net Sales

The amount of revenue generated by a company after deducting returns, allowances for damaged or missing goods, and any discounts allowed.

Cost of Goods Sold

The specific expenses directly tied to the manufacturing of products sold by a business, such as costs for materials and labor.

Percentage

A fraction or ratio expressed as a part of one hundred, used to describe proportions or compare values.

Retail Inventory Method

An accounting procedure for estimating inventory value by applying a percentage cost-to-retail price.