Fact Pattern 26-1 Nina Obtains a Check Payable to Her Order from Oran

question 16

Multiple Choice

Fact Pattern 26-1
Nina obtains a check payable to her order from Oran. Nina signs the back and gives the check to Patricia. Patricia writes "Pay to Patricia" above Nina's signature.
-Refer to Fact Pattern 26-A1. When Patricia writes "Pay to Patricia" above Nina's signature, the check becomes​

• A) ​a bearer instrument.
• B) ​an order instrument.
• C) ​a promissory note.
• D) ​a stolen instrument.

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Definitions:

After Tax

Refers to the amount of money or income that remains after all federal, state, and withholding taxes have been deducted.

Annual Return

The percentage of change in an investment's value over a one-year period, including any dividends or interest earned.

Factory Overhead

All indirect costs associated with manufacturing, excluding direct materials and direct labor expenses.

Period Cost

Costs that are not directly tied to the production process and are expensed in the period they are incurred.