Fact Pattern 24-1A
Flik draws a check payable to "GrocMart" to buy groceries.
-Refer to Fact Pattern 24-1A. Flik's check is most likely
A) a certificate of deposit.
B) a negotiable instrument.
C) a promise to pay.
D) a promissory note.

Question

Fact Pattern 24-1A 
Flik draws a check payable to "GrocMart" to buy groceries.
-Refer to Fact Pattern 24-1A. Flik's check is most likely
A) a certificate of deposit.
B) a negotiable instrument.
C) a promise to pay.
D) a promissory note.

Quizplus · Accepted Answer

The fact pattern describes a check, which is a type of negotiable instrument. Option A, certificate of deposit, is a type of investment product issued by a bank. Option C, promise to pay, is a general term that could apply to various types of contracts or legal agreements. Option D, promissory note, is a type of negotiable instrument, but the fact pattern specifically identifies the instrument as a check.