Which of the following statements is true for a negotiable instrument?
A)It should be signed by the payee.
B)It need not state a fixed amount of money.
C)It should not require any undertaking other than the payment of money.
D)It can be either written or oral.

Question

Quizplus · Accepted Answer

A negotiable instrument should not require any undertaking other than the payment of money. This means that it cannot include any other obligations or conditions besides the transfer of money from the payer to the payee.

Options A and D are incorrect because a negotiable instrument should be signed by the payer, not the payee, and it must be in writing, not oral.

Option B is also incorrect because a negotiable instrument must state a fixed amount of money that is being transferred.

Which of the Following Statements Is True for a Negotiable