Match the Following: A.The Sender of a Payment Order.b.A Specialized Form of Draft;an

question 3

Essay

Match the following:
a.The sender of a payment order.b.A specialized form of draft;an order to pay money,drawn on a bank and payable on demand.c.Defenses available against all holders.d.Signature identifying an indorsee to be paid and making the instrument order paper.e.A person who is in possession of an instrument with all necessary indorsements.f.Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.g.The person who executes a promissory note and who promises to pay it.h.A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date,with interest at a stated rate;a specialized form of promise to pay money that is given by a bank.i.A party to whom a draft is directed,and who is requested to pay the amount of money ordered therein;the bank on which a check is drawn.j.The person who writes a check or draft;the person on whose account a draft is drawn.k.A signature that attempts to limit the rights of the indorsee in some fashion.l.A sender's written,electronic,or oral instruction to a receiving bank to pay,or to cause another bank to pay,a fixed or determinable amount of money to a beneficiary.m.The person in whose favor a promissory note or draft is made or drawn.n.Defenses which are good against holders unless they have rights of holders in due course.o.An instrument involving two parties,one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.p.A paper,containing an indorsement,affixed to a negotiable instrument.q.The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.r.The bank in which the payee or holder deposits a check for credit.s.A bank,other than the depositary or payor bank,involved in the collection process.t.Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money.
-negotiability

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Definitions:

Substitution Effect

The economic principle that as the price of a good or service rises, consumers will replace it with cheaper alternatives, affecting the demand for goods.

Normal Good

A Normal Good is a type of good for which demand increases as the income of consumers increases and decreases when consumer income decreases, all else being equal.

Indifference Curve

A curve showing the different combinations of two products that yield the same satisfaction or utility to a consumer.