An Agent Must Always Act in Person & Never Delegate

question 15

True/False

An agent must always act in person & never delegate.

Evaluate the distinction between ordinary holders, HDCs (Holder in Due Course), and their rights and liabilities.

Identify the warranties associated with the acceptance and negotiation of negotiable instruments.

Assess the impact of fraud and forgery on negotiable instruments and the parties involved.

Determine the liability and defenses available to parties in a transaction involving materially altered instruments.

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Definitions:

Deposit In Transit

Funds that have been received and recorded by a company but not yet credited by its bank, often seen in bank reconciliation processes.

Bank Statement Adjustment

Adjustments made to a bank statement balance to reflect transactions or corrections not yet recorded by the bank, ensuring accuracy in financial records.

Company Books Adjustment

Changes or corrections made to the accounting records of a business to reflect the true financial position.

Interest Revenue

Interest revenue is the income earned by an entity through lending money or through investment securities that pay interest.