Question 1

Match the following:
-personal defenses

Accepted Answer

A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. 
A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. N

Question 2

Match the following:
-negotiability

Accepted Answer

A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. 
A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. T

Question 3

Match the following:
-drawer

Accepted Answer

A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. 
A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. J

Question 4

Match the following:
-payment order

Accepted Answer

A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. 
A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money.

Question 5

Match the following:
-intermediary bank

Accepted Answer

A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. 
A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money.

Question 6

Match the following:
-payee

Accepted Answer

A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. 
A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money.

Question 7

Match the following:
-restrictive indorsement

Accepted Answer

A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. 
A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money.

Question 8

Match the following:
-promissory note

Accepted Answer

A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. 
A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money.

Question 9

Match the following:
-real defenses

Accepted Answer

A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. 
A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money.

Question 10

Match the following:
-check

Accepted Answer

A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. 
A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money.

Question 11

Match the following:
-shelter rule

Accepted Answer

A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. 
A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money.

Question 12

Match the following:
-holder

Accepted Answer

A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. 
A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money.

Question 13

Match the following:
-special indorsement

Accepted Answer

A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. 
A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money.

Question 14

Match the following:
-originator

Accepted Answer

A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. 
A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money.

Question 15

Match the following:
-maker

Accepted Answer

A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. 
A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money.

Question 16

Match the following:
-drawee

Accepted Answer

A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. 
A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money.

Question 17

Match the following:
-certificate of deposit

Accepted Answer

A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. 
A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money.

Question 18

Match the following:
-allonge

Accepted Answer

A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. 
A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money.

Question 19

Match the following:
-blank indorsement

Accepted Answer

A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. 
A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money.

Question 20

Match the following:
-depositary bank

Accepted Answer

A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money. 
A) The sender of a payment order. 
B) A specialized form of draft; an order to pay money, drawn on a bank and payable on demand. 
C) Defenses available against all holders. 
D) Signature identifying an indorsee to be paid and making the instrument order paper. 
E) A person who is in possession of an instrument with all necessary indorsements.
F)Signature that specifies no indorsee and may consist of merely the signature of the indorser or her authorized agent.
G)The person who executes a promissory note and who promises to pay it.
H)A written acknowledgment by a bank of the receipt of money that it promises to repay on demand or at a stated future date, with interest at a stated rate; a specialized form of promise to pay money that is given by a bank.
I)A party to whom a draft is directed, and who is requested to pay the amount of money ordered therein; the bank on which a check is drawn.
J)The person who writes a check or draft; the person on whose account a draft is drawn.
K)A signature that attempts to limit the rights of the indorsee in some fashion.
L)A sender's written, electronic, or oral instruction to a receiving bank to pay, or to cause another bank to pay,
a fixed or determinable amount of money to a beneficiary.
M)The person in whose favor a promissory note or draft is made or drawn.
N)Defenses which are good against holders unless they have rights of holders in due course.
O)An instrument involving two parties, one of whom promises to pay to the order of the second a stated sum of money either on demand or at a stated future date.
P)A paper, containing an indorsement, affixed to a negotiable instrument.
Q)The transferee of a holder in due course succeeds to the rights of a holder in due course even if the transferee does not qualify for holder in due course status.
R)The bank in which the payee or holder deposits a check for credit.
S)A bank, other than the depositary or payor bank, involved in the collection process.
T)Legal concept that makes written instruments freely transferable and therefore a readily accepted form of payment in substitution for money.

Exam 55: Negotiable Instruments

Match the following: -personal defenses

Match the following: -negotiability

Match the following: -drawer

Match the following: -payment order

Match the following: -intermediary bank

Match the following: -payee

Match the following: -restrictive indorsement

Match the following: -promissory note

Match the following: -real defenses

Match the following: -check

Match the following: -shelter rule

Match the following: -holder

Match the following: -special indorsement

Match the following: -originator

Match the following: -maker

Match the following: -drawee

Match the following: -certificate of deposit

Match the following: -allonge

Match the following: -blank indorsement

Match the following: -depositary bank

Introduction to Law

Business Ethics and the Social Responsibility of Business

Civil Dispute Resolution

Constitutional Law

Administrative Law

Criminal Law

Intentional Torts

Negligence and Strict Liability

Introduction to Contracts

Mutual Assent

Conduct Invalidating Assent

Consideration

Illegal Bargains

Contractual Capacity

Contracts in Writing

Third Parties to Contracts

Performance, Breach, and Discharge

Contract Remedies

Relationship of Principal and Agent

Relationship With Third Parties

Introduction to Sales and Leases

Performance

Transfer of Title and Risk of Loss

Products Liability: Warranties and Strict Liability in Tort

Sales Remedies

Form and Content

Transfer and Holder in Due Course

Liability of Parties

Bank Deposits, Collections, and Funds Transfers

Formation and Internal Relations of General Partnerships

Operation and Dissolution of General Partnerships

Limited Partnerships and Limited Liability Companies

Nature, Formation, and Powers

Financial Structure

Management Structure

Fundamental Changes

Secured Transactions and Suretyship

Bankruptcy

Protection of Intellectual Property

Antitrust

Consumer Protection

Employment Law

Securities Regulation

Accountants Legal Liability

Environmental Law

International Business Law

Introduction to Property, Property Insurance, Bailments, and Documents of Title

Interests in Real Property

Transfer and Control of Real Property

Trusts and Decedents Estates

the Legal Environment of Business

Contracts

Agency

Sales

Unincorporated Business Associations

Corporations

Debtor and Creditor Relations

Regulation of Business

Property