Which of the Following Statements Is True of Signing a Negotiable

question 38

Multiple Choice

Which of the following statements is true of signing a negotiable instrument?

• A) An instrument in the form of a note must be signed by the payee who accepts the promise of the issuer.
• B) An instrument in the form of a draft must be signed by the person giving the instruction to pay.
• C) An instrument is not considered to be negotiable when the maker signs by writing his name on it.
• D) A person or company cannot authorize an agent to sign instruments for it.

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Definitions:

Technology

The application of scientific knowledge for practical purposes, especially in industry and the creation of inventions to solve problems or improve processes.

Short-Run Total Cost Function

A formula showing the total cost of production when at least one factor of production is fixed in the short run.

Average Cost

Calculated by dividing the total cost of production by the number of goods produced.

Quantity of Output

The total amount of goods or services produced by a company, industry, or country.