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Which of the Following Statements Is True

question 23

Multiple Choice

Which of the following statements is true?


Definitions:

Conditional Indorsement

Refers to a signature on a financial document, such as a check, that limits the conditions under which it can be valid.

Negotiability

The quality of a financial instrument, such as a check or bill of exchange, that allows it to be transferred from one party to another through endorsement or delivery.

Traveler's Checks

Preprinted, fixed-amount checks designed to allow the person signing it to make an unconditional payment to someone else as a result of having paid the issuer for this privilege.

Negotiable

Capable of being transferred or exchanged for value by endorsement or delivery.

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