BUSINESS ADMINISTRATION
BUSINESS LAW
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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In writing
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Unconditional
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Properly stamped
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All the three
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Detailed explanation-1: -A bill of exchange must clearly detail the amount of money, the date, and the parties involved including the drawer and drawee. If a bill of exchange is issued by a bank, it can be referred to as a bank draft. The issuing bank guarantees payment on the transaction.
Detailed explanation-2: -The number of parties involved in bills of exchange are three namely drawer, drawee and payee.
Detailed explanation-3: -The bill of exchange contains an unconditional order to pay a certain amount on an agreed date while the promissory note contains an unconditional promise to pay a certain sum of money on a certain date. In India these instruments are governed by the Indian Negotiable Instruments Act 1881.
Detailed explanation-4: -Types of Bill of Exchange Usance Bill-It is a time-bound bill which means the payment has to be made within the given time period and time. Inland Bill-An Inland bill is payable only in one country and not in any other foreign country. This bill is opposite to the foreign bill.