Which of the Following Is NOT a Duty of a Collecting

question 29

Multiple Choice

Which of the following is NOT a duty of a collecting bank in the collection process?

• A) Duty of care.
• B) Duty to act in a timely manner.
• C) Duty to honor a valid stop payment order.
• D) Duty to honor a restrictive endorsement.

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Definitions:

MR (Marginal Revenue)

The increase in revenue that results from selling one additional unit of a product or service.

MC (Marginal Cost)

The additional cost incurred in producing one more unit of a good or service.

Downward-Sloping Demand

A representation of the relationship between price and quantity demanded, indicating that as price decreases, demand increases.

Reasonable Substitutes

Alternative products or services that can satisfactorily replace others, meeting the same needs or wants.