William draws a check on City Bank payable to the order of Tara.Tara indorses it to Rebecca.Rebecca deposits it to her account in Town Bank.Town Bank properly presents it to City Bank, the drawee.City Bank dishonors it because William did not have enough funds on deposit to cover the check.In this case:
A) William is discharged from liability only if he fails to receive notice of dishonor.
B) City Bank has until midnight of the following day to notify Town Bank, Rebecca, or Tara of the dishonor.
C) if Town Bank received notice of dishonor on Monday, it would have until midnight on Wednesday to notify Tara or Rebecca.
D) Rebecca has until midnight of the following day after receipt of notice of dishonor to notify Tara.
Correct Answer:
Verified
Q21: A bank must give notice of dishonor
Q28: Zoron Company purchased a truck from Ace
Q32: If an agent is authorized to execute
Q33: When a severe weather warning has been
Q43: To certify a check,the bank must:
A) tell
Q43: Sarah has a checking account at First
Q44: In which of the following situations has
Q45: Bob took a check written by Jack
Q56: All of the following except which one
Q58: Brad wrote a check to Clara for
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents