Which of the Following Is True of a Collecting Bank

Multiple Choice

Which of the following is true of a collecting bank?

A) The relationship between a collecting bank and the owner of an item, once settled, becomes a debtor-creditor relationship.
B) A collecting bank is an agent of the owner of an item until settlement becomes final.
C) A collecting bank may be a sub-agent of the owner until settlement becomes final.
D) All of these are true.
E) None of these are true.