When a Holder Presents an Instrument in a Timely and Proper

question 37

Multiple Choice

When a holder presents an instrument in a timely and proper manner,but acceptance or payment is refused,the instrument has been ____.

• A) Destroyed
• B) Dishonored
• C) Converted
• D) Rejected
• E) Refused

---

Definitions:

Comprehensive Coverage

A type of automobile insurance that provides protection against loss when the insured’s car is damaged or destroyed by fire, lightning, flood, hail, windstorm, riot, vandalism, or theft.

Actual Cash Value

The amount equal to the replacement cost of damaged or stolen property minus depreciation.

Liability

The condition of being legally accountable for certain actions or responsibilities, particularly regarding financial debts or legal duties.

Replacement Value

The cost to replace an asset or property with a new one of similar kind and quality at current market prices.