Sam Writes a Check Drawn on His Account at First

question 58

Multiple Choice

Sam writes a check drawn on his account at First Bank to State University to pay his tuition.In this case:

• A)Sam is the drawer.
• B)the university is the drawee.
• C)the bank is the payee.
• D)Sam is the maker.

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Definitions:

Insurance Policies

Contracts between an insurer and a policyholder that outline the terms and conditions under which the insurer agrees to pay compensation for specified losses, damages, illness, or death in return for premiums paid by the policyholder.

Independent Contractor

An individual or entity contracted to perform work for or provide services to another entity as a non-employee.

Employee

An individual who performs work under the direction and control of an employer in exchange for compensation.

Reasonable Skill

The level of competence that one can expect from a person with the standard abilities and knowledge in a particular field.