State Bank's Policy Requires That Indorsements on Checks Exactly Match

Multiple Choice

State Bank's policy requires that indorsements on checks exactly match the names of the payees.Tovar,an employee of United Company,issues and indorses several payroll checks in the names of former employees and deposits them into her account at State.United files a suit against State to recover the funds.Most likely to suffer the loss is

A) State Bank on the basis of bad faith.
B) Tovar on the ground that she was a fictitious payee.
C) United Company for failing to monitor its employee.
D) the employees in whose names the checks were issued and indorsed.