Multiple Choice
Which of the following is true regarding Zoe's liability to Rohan?
A) Zoe's obligation will be enforced only to the amount of $4,000 if payment is to be made to Rohan;but if the note has been negotiated to another holder,Zoe is liable for $4,500.
B) Unless Zoe has a written document from Rohan to the effect that the agreement was for $4,000 only,Zoe and Rohan will be legally required to split the remainder with Zoe being held responsible for $4,250.
C) Because of the fraudulent alteration,Zoe is not liable to Rohan for any amounts under the promissory note.
D) Zoe is liable for $4,000 regardless of whether or not Rohan has negotiated the note to another party.
E) Taylor's obligation will be enforced only to the amount of $3,000 if payment is to be made to Rohan;but in the event the note is negotiated to a holder in due course,Taylor is liable for $3,500.
Correct Answer:

Verified
Correct Answer:
Verified
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