Motor Sales Inc. signs an instrument that promises to pay National Parts Company a certain price, with interest, for a shipment of auto parts. It is necessary to know when the instrument is due in order to

Question

Quizplus · Accepted Answer

Knowing when an instrument is due helps in determining its value (as the value can change over time with interest accrual), calculating when a statute of limitations may apply (as legal rights to enforce the instrument can expire), and understanding when interest will accrue (which affects the total amount payable).