A Time Draft That Has Been Signed by the Customer

question 87

Multiple Choice

A time draft that has been signed by the customer is termed:

• A) a trade discount.
• B) a conditional sale.
• C) a trade acceptance.
• D) an overdue account.

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Definitions:

Intent

The purpose or mindset with which an individual acts, significant in both criminal and civil law to determine culpability or liability.

Principal

In agency law, a person who agrees to have another, called the agent, act on his or her behalf.

Agency Relationship

A legal and fiduciary relationship between two parties, where one (the agent) is authorized to act on behalf of the other (the principal) in business dealings.

Agent

A person who agrees to represent or act for another, called the principal.