Amanda goes to American Bank where she uses $2,000 of her savings to purchase a six-month certificate of deposit.In this case:
A) Amanda is the maker.
B) American Bank is the maker.
C) American Bank is the payee.
D) Amanda is the promisor.

Question

Quizplus · Accepted Answer

American Bank is the maker because they are creating the certificate of deposit, which is a promise to pay Amanda a certain amount at the end of six months. Amanda is the payee because she is the one who will receive the payment when the certificate of deposit matures.

Amanda Goes to American Bank Where She Uses $2,000 of Her