Which of the following statements is true of the obligations of a maker?
A) The maker of a promissory note is secondarily liable for payment of it.
B) The maker of a promissory note makes a conditional promise to pay a fixed amount of money.
C) The obligation of the maker is to pay the negotiable instrument according to its terms at the time he issues it.
D) The obligation of the maker is owed to an indorser, a person entitled to enforce the instrument.

Question

Quizplus · Accepted Answer

The maker of a promissory note is primarily liable for payment of it. The maker promises unconditionally to pay a fixed amount of money and is responsible for making good on that promise. The obligation of the maker is to pay the negotiable instrument according to its terms at the time he issues it or, if it is not issued, then according to its terms at the time it first came into possession of a holder.

Which of the Following Statements Is True of the Obligations