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Bills of Exchange Quiz

Class XI
Accountancy
Bills of Exchange
15 questions
HARD

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1. What is a Bill of Exchange?

A written order to pay a certain sum · A type of bank loan · A receipt for goods sold · A contract for employment

2. Who are the parties involved in a Bill of Exchange?

Drawer, Drawee, Payee · Lender, Borrower, Guarantor · Buyer, Seller, Broker · Manufacturer, Distributor, Retailer

3. What is the term for the person who draws the Bill of Exchange?

Drawee · Payee · Drawer · Endorser

4. What does the Drawee do in a Bill of Exchange?

Receives the payment · Issues the Bill · Accepts the Bill · Endorses the Bill

5. Which of the following is NOT a feature of a Bill of Exchange?

It must be in writing · It can be oral · It must be signed by the Drawer · It must contain an unconditional order to pay