A demand draft is
A)a bill of exchange that is payable within a stipulated period,after presentation.
B)a bill of exchange on which the expression demand draft is written.
C)a bill of exchange that is payable within a stipulated period,after the date stated on the instrument.
D)a bill of exchange that is payable immediately upon presentation without any days of grace.
E)a bill of exchange that is payable at sight.

Question

Quizplus · Accepted Answer

A demand draft is a type of bill of exchange that is payable immediately upon presentation without any days of grace. It is a pre-paid instrument, meaning that the funds required to pay the draft have already been collected by the bank. The recipient of the draft can be sure that they will receive the funds without any delay.

A Demand Draft Is