Identify the Statement That Holds True of Revised Article 3

question 37

Multiple Choice

Identify the statement that holds true of revised Article 3 of the Uniform Commercial Code regarding checks.

• A) Under revised Article 3, an instrument does not qualify as a check if it contains the engraving "money order" on its face.
• B) Revised Article 3 prevents an instrument from meeting the "unconditional promise" if it requires a countersignature of a person whose specimen signature appears on the draft.
• C) Under revised Article 3, a payor bank may pay a postdated check before the stated date unless the drawer has notified the bank of postdating pursuant to a procedure set out in the Code.
• D) Revised Article 3 states that an instrument which names a fixed time for payment should not contain a clause permitting the time for payment to be accelerated at the option of the maker.

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Definitions:

Social Responsibility

The obligation of individuals, organizations, and businesses to act for the benefit of society at large, often encompassing ethical behavior and sustainable practices.

Philanthropic

Pertaining to the act of donating money, goods, services, or time to the needy, directly or through a charitable foundation.

Legal Obligation

A requirement enforced by law that mandates individuals or entities to act or refrain from certain actions.

Social Responsibility

The obligation of organizations to act in ways that benefit society and the environment beyond their immediate business interests.