Dru Signs a Check "Pay to the Order of Eppie

question 33

Multiple Choice

Dru signs a check "pay to the order of Eppie" drawn on Dru's account in First State Bank. Greta forges Eppie's indorsement. First State pays the check. Most likely

• A) Dru will be liable for the amount.
• B) Eppie will have to pay Dru for the amount.
• C) First State will have to recredit Dru's account.
• D) the Federal Reserve will reimburse all parties for their costs.

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