Once a Bill Is Drawn It Is Sent to the ___________

question 49

Multiple Choice

Once a bill is drawn it is sent to the ___________ for ___________. Before the date for payment it may be negotiated to others, called _______________ by way of ___________.

• A) maker; endorsement; holders; exchange
• B) drawee; endorsement; endorsers; acceptance
• C) drawee; payment; endorsers; endorsement
• D) drawee; acceptance; holders; endorsement
• E) maker; acceptance; endorsers; endorsement

---

Definitions:

Real Risk-free Rate

The theoretical return on an investment with no risk of financial loss, adjusted for inflation.

Inflation Premium

The additional interest that investors require to compensate for the decrease in purchasing power of money due to inflation over time.

Zero Coupon Bonds

Bonds that do not pay interest during their lifetime and are sold at a discount to their face value.

Coupon Payment

A periodic interest payment made to bondholders during the life of the bond.