LNG Corporation and Midstates Utility Company Enter a Contract for a Sale

question 48

Multiple Choice

LNG Corporation and Midstates Utility Company enter a contract for a sale of liquefied natural gas. LNG draws a draft unconditionally ordering Midstates Utility to pay $50,000 to LNG's order in sixty days. Midstates Utility signs and dates the draft.
-Refer to Fact Pattern 23-2. On this instrument,LNG is

• A)thebanker.
• B)thedrawer.
• C)themaker.
• D)the trader.

---

Definitions:

Aggregate Income

The total income earned by all individuals within an economy, including wages, profits, and other earnings.

Consumption Function

A formula in economics showing how total consumption is related to the gross national income.

Aggregate Income

The total income earned by individuals and businesses in an economy over a specific period, before taxes.

Aggregate Income

The total amount of income earned by individuals and businesses within an economy.