Which of the Following Statements Is True of an Oral

question 29

Multiple Choice

Which of the following statements is true of an oral stop-payment order given by the customer?

• A) It is not valid for more than 24 hours.
• B) It is valid for only 14 days unless the customer confirms it in writing during that time.
• C) It is invalid.
• D) It is valid for six months and can be extended for another six months by giving the bank instructions to continue.

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Definitions:

Bowed Inward

Describes a concave shape of an economic curve, such as the production possibility frontier, indicating increasing opportunity costs.

Bowed Out

A term used to describe a situation where a party withdraws from an agreement, competition, or situation.

Adaptable

The ability to adjust or modify oneself or processes to suit different conditions or environments.

Production Possibilities Frontier

A curve depicting all maximum output possibilities for two goods, given a set of inputs and technology.