Magda purchased some new clothes at a clothing store and gave the salesclerk a cheque for the price of the goods as payment. If Magda had presented a certified cheque as payment, the acceptance of the cheque would extinguish the debt.

Question

Quizplus · Accepted Answer

A certified cheque guarantees that the bank will pay the amount, but it does not extinguish the debt until the cheque is actually cashed and the funds are transferred.

Magda Purchased Some New Clothes at a Clothing Store and Gave