An Accommodation Party Is Secondarily Liable If the Accommodation Is

question 63

Multiple Choice

An accommodation party is secondarily liable if the accommodation is in a ________.

• A) guarantee of promise
• B) guarantee of demand
• C) guarantee of collection
• D) guarantee of payment

---

Definitions:

Dividends

Payments made by a corporation to its shareholder members, usually derived from the company's profits.

Payments

Transactions made by individuals or entities to fulfill financial obligations, such as bills, salaries, or loans.

Operating Activities

Activities that are directly related to the day-to-day operations of a business, such as sales, purchase of inventory, and payment of expenses.

Net Income

The total profit of a company after all expenses, taxes, and costs have been subtracted from total revenue; often referred to as the bottom line.