Which of the Following Statements Is TRUE with Respect to Negotiable

question 42

Multiple Choice

Which of the following statements is TRUE with respect to negotiable instruments?

• A)Technically speaking, there are only three types of negotiable instruments: cheques, bills of exchange, and promissory notes.
• B)The Bills of Exchange Act applies to every type of negotiable instrument.
• C)Unlike most contracts, a negotiable instrument is effective only if it is written and signed.
• D)A negotiable instrument is valid as long as it provides a mechanism that the drawer can use to determine how much the payee is entitled to receive.
• E)A negotiable instrument is effective only if it contains a conditional obligation to pay money.

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Definitions:

Dutch Philosopher

A philosopher hailing from the Netherlands, known for contributing to a wide range of philosophical discussions and theories.

Significance

The quality of being worthy of attention; importance.

Goal

A desired result or outcome that an individual or group aims to achieve through concerted effort.

Ambiguous

Characterized by having more than one possible interpretation, meaning, or outcome, often leading to vagueness or confusion.