A _____ Is Drawn on the Account of the Bank

question 41

Multiple Choice

A _____ is drawn on the account of the bank itself and signed by an authorized bank representative in return for a cash payment to it from the customer.

• A) certified check
• B) cashier's check
• C) traveler's check
• D) money order
• E) blank check

Distinguish between contractual liability and warranty liability in negotiable instruments.

Grasp the responsibilities and liabilities of accommodation parties.

Understand the procedure and implications of certifying a check.

Differentiate between the liability of qualified and unqualified indorsers in negotiable instruments.

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Definitions:

Analogy

A comparison between two things, typically for the purpose of explanation or clarification.

Photograph

A picture made using a camera, where light is captured and recorded on a light-sensitive surface.

Sensory Memory

The shortest-term element of memory, it is the ability to retain impressions of sensory information after the original stimuli have ended, acting as a buffer for stimuli received through the senses.

Proactive Interference

Memory problem that occurs when older information prevents or interferes with the learning or retrieval of newer information.