Tomas Writes a Check for $1,000 Drawn on Unified Bank

question 42

Multiple Choice

Tomas writes a check for $1,000 drawn on Unified Bank and presents it to Viola. Viola presents the check for payment to Unified Bank, which dishonors it. The party most likely liable to Viola is​

• A) ​Tomas in a civil suit.
• B) ​Tomas in a criminal prosecution.
• C) ​Unity Bank in a civil suit.
• D) ​none of the choices.

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Definitions:

Foreign Exchange Gain

A financial benefit that occurs when the value of foreign currencies increases against the domestic currency in which a company holds foreign currency assets or earnings.

Exchange Rate

The exchange rate is the value of one currency for the purpose of conversion to another, dictating how much of one currency can be exchanged for another currency.

Accounts Receivable-Kagome

This term might refer to the outstanding invoices or money owed to the Kagome company by its customers for goods or services delivered.

Foreign Exchange Rate

The price at which one currency can be exchanged for another currency.