6 Questions
What is a bill of exchange?
A written order to pay a specified sum of money to a designated person
What is the role of the drawer in a bill of exchange?
The person who orders the payment
What is the function of a bill of exchange?
Facilitates trade by providing a method of payment
In a bill of exchange, who is the drawee?
The party to whom the order to pay is addressed
What is the significance of the term 'acceptance' in a bill of exchange?
It signifies the drawee's agreement to pay the bill as per its terms
What is the function of the endorser in a bill of exchange?
Guaranteeing the payment of the bill
Test your knowledge of bills of exchange with this quiz. Learn about the definition, role of the drawer, and the functions of bills of exchange in international trade and finance.
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