Which of the Following Is True Regarding the Warranty or Warranties

question 34

Multiple Choice

Which of the following is true regarding the warranty or warranties applicable if an instrument is not an unaccepted draft presented to a drawee?

• A)Only one warranty applies,that the warrantor has no knowledge that the drawer's signature or the draft is unauthorized.
• B)Two warranties are applicable: 1)that the instrument has not been altered,and 2)that the warrantor has no knowledge that the drawer's signature or the draft is unauthorized.
• C)Three warranties are applicable: 1)that the instrument has not been altered,2)that the warrantor has no knowledge that the drawer's signature or the draft is unauthorized,and 3)that the warrantor of the instrument is or was entitled to payment or authorized to obtain payment.
• D)Only one warranty applies,that the instrument has not been altered.
• E)Only one warranty applies,that the warrantor of the instrument is or was entitled to payment or authorized to obtain payment.

---

Definitions:

Fish

Aquatic animals that are typically harvested either from the wild (fishing) or from farms (aquaculture) for food, recreational, or commercial purposes.

Open Ocean

The vast, deep, and relatively unexplored parts of the sea, far from land and typically beyond national jurisdiction.

Property Rights

The legal rights to use, transfer, or sell property, whether tangible or intangible, recognized and protected by law.

Higher User Costs

Increased charges or expenses borne by users for accessing or utilizing services, goods, or facilities.