Olena signs a promissory note payable to the order of Payday Loan Company.The note states that it is payable "with interest at the legal rate." This note is
A)negotiable.
B)nonnegotiable,because it does not specify a rate of interest.
C)nonnegotiable,because it is payable with interest.
D)nonnegotiable,because the exact amount payable cannot be deter?mined from the face of the instrument.

Question

Quizplus · Accepted Answer

The promissory note is negotiable because it meets all the requirements of negotiability, including being payable to the order of a specific payee, containing a promise to pay a specific amount of money, and having no other conditions or limitations on payment. The fact that it specifies interest at the legal rate does not affect its negotiability.

Olena Signs a Promissory Note Payable to the Order of Payday