Don Writes a Check to Eve Drawn on Don's Account

question 50

Multiple Choice

Don writes a check to Eve drawn on Don's account at First Bank. Eve presents the check for payment to First Bank, which ac?cepts it. The bank is

• A) not liable for payment.
• B) primarily liable for payment.
• C) secondarily liable for payment.
• D) simultaneously liable, with Don, for payment.

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Definitions:

Oligopolistic Firms

Companies that are part of an oligopoly, a market structure with a small number of large firms dominating the industry, often leading to strategic behavior.

High Profits

Increased financial gains resulting from operating activities, typically seen as significantly above the average or expected level.

Market Structure Types

Various classifications of market systems based on the number of firms in the market, the nature of the product, and the degree of competition, including perfect competition, monopoly, oligopoly, and monopolistic competition.

Compete On Quality

a business strategy where companies focus on offering higher quality products or services instead of competing on prices.