Bob Makes a Check for $100 in a Way That

question 37

Multiple Choice

Bob makes a check for $100 in a way that makes it possible for someone to easily alter it to read $1,100,and it is so altered.Under these circumstances:

• A)If the drawee bank pays the check to a holder in good faith,it can charge the $1,100 to Bob's account if Bob's negligence contributed to the alteration.
• B)A drawee bank can charge the $100 to Bob's account and will be liable for the rest of the altered amount.
• C)The drawee bank is completely liable to Bob for accepting the altered check even if Bob's negligence contributed to the alteration.
• D)The person who altered the check is liable to the drawee bank and the bank cannot charge the $1,100 to Bob's account.

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Definitions:

Human Development

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