Multiple Choice
[Used Car Commission] William promised to sell Caileen's car for her, but he wanted a commission of 10%. Caileen signed an instrument promising to pay William a 10% commission if he sold her car. William assigned the agreement to Mehdi. Caileen's car was sold and the buyer paid Caileen. A dispute ensued between Caileen and William regarding whether William found the buyer or the buyer found Caileen. When Mehdi asked Caileen for payment on the instrument, Caileen refused. William, Caileen, and Mehdi settled their dispute without going to court and Caileen wrote Mehdi a check for $3,000. Mehdi endorsed the check on the back by signing his name planning to take it to the bank the next day. Unfortunately, Mehdi lost the check which was found by Caileen and cashed by the local bank. Caileen then left town.
-Before Mehdi endorsed the check it was a[n] ________ instrument; and after he endorsed it, the check was a[n] ________ instrument.
A) Order; order
B) Order; transactional
C) Order; bearer
D) Transactional; bearer
E) Bearer; bearer
Correct Answer:

Verified
Correct Answer:
Verified
Q78: A note is a promise, by the
Q79: A _ is a two-party instrument and
Q80: Which of the following is true regarding
Q81: Which of the following is true regarding
Q82: A(n) _ is a specific draft, drawn
Q84: A currency or cash substitute has existed
Q85: Which of the following is a note
Q86: All negotiable documents should be in electronic
Q87: An instrument fails to be negotiable because
Q88: Which of the following is not required