Which of the Following Is True Regarding Liability on Negotiable

question 83

Multiple Choice

Which of the following is true regarding liability on negotiable instruments?

• A)Makers and acceptors are primarily liable for a negotiable instrument,while drawers and endorsers are secondarily liable
• B)Drawers and endorsers are primarily liable for a negotiable instrument,while makers and acceptors are secondarily liable
• C)Makers and drawers are primarily liable for a negotiable instrument,while acceptors and endorsers are secondarily liable
• D)Acceptors and endorsers are primarily liable for a negotiable instrument,while makers and drawers are secondarily liable
• E)Makers,acceptors,drawers,and endorsers are all secondarily liable for a negotiable instrument.

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Definitions:

Average Fixed Cost

The fixed costs of production divided by the quantity of output produced; decreases as production increases.

Average Variable Cost

The per unit cost of variable inputs divided by the total quantity of output produced, reflecting the variable cost of production.

Marginal Revenue

The additional income generated by increasing product sales by one unit.

Marginal Cost

The expense associated with manufacturing an extra unit of a product or service.