QUESTION 1 A guarantor who signs an instrument and writes quot;payment guaranteedquot; on it is primarily liable on the instrument.

QUESTION 1

A guarantor who signs an instrument and writes "payment guaranteed" on it is primarily liable on the instrument.

 True

 False

10 points  

QUESTION 2

A negotiable instrument may be payable in gold.

 True

 False

10 points  

QUESTION 3

A bearer instrument is negotiated by delivery alone.

 True

 False

10 points  

QUESTION 4

Dishonor occurs when a maker fails to pay a note upon proper presentment.

 True

 False

10 points  

QUESTION 5

Only a holder or his agent may discharge an indorse by cancellation.

 True

 False

10 points  

QUESTION 6

The last indorsement on a draft determines whether the draft is an order or bearer instrument.

 True

 False

10 points  

QUESTION 7

Presentment for payment of a note may be made to the maker of the note.

 True

 False

10 points  

QUESTION 8

A note payable "upon the death of Joe Jones" is negotiable.

 True

 False

10 points  

QUESTION 9

Presentment for payment of a note may only be made in person.

 True

 False

10 points  

QUESTION 10

When a check is certified by a holder, all prior indorsers are discharged on the check.

 True

 False