When May a Bank Pay an Overdraft of $5,000 Created

question 9

Multiple Choice

When may a bank pay an overdraft of $5,000 created by an executive officer of the bank?

• A) When the officer is at the level of a vice president or lower.
• B) When the officer has previously signed an overdraft protection credit agreement in an amount sufficient to cover the overdraft.
• C) When the officer has enough funds in another account to cover the overdraft.
• D) When the bank pays the overdrafts for other good customers in the ordinary course of business.

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Definitions:

Awareness

The knowledge or perception of a situation or fact, often referring to the ability to directly know and perceive, to feel, or to be cognizant of events.

Stream of Consciousness

A literary style or mental process where thoughts and feelings are presented in a continuous flow, mimicking the human mind's natural operation.

Circadian Rhythm

The physical, mental, and behavioral changes that follow a daily cycle, responding primarily to light and darkness in an organism's environment.

Level of Awareness

The extent to which an individual is conscious of aspects of their environment or personal experiences.