John Writes a Check for $100 on His Account at the Sacred

question 43

Multiple Choice

John writes a check for $100 on his account at the Sacred Heart Bank to repay the $100 he owes Perry. He gives the check to Eliot and tells her to hand it over to Perry. However, Eliot loses the check before she can give it to Perry. Later, John realizes that he had not written Perry's name on the lost check. According to the provisions of the Uniform Commercial Code (UCC) , on which of the following parties should the risk of loss of the check be placed?

• A) Eliot
• B) Perry
• C) John
• D) Sacred Heart Bank

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Definitions:

Minimum Rate

The lowest acceptable or allowable rate, often referring to wages, interest rates, or other financial variables.

Annual Margin

The amount of profit a company generates over a year after all expenses have been subtracted from revenues.

Investment Center

A business unit or segment within a larger corporation that is responsible for its own revenue, expenses, and investments, often evaluated on its return on investment.

Return on Assets

Return on Assets (ROA) is a financial ratio that indicates the profitability of a company relative to its total assets.