BUSINESS ADMINISTRATION
BUSINESS LAW
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Certified Check
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Money Order
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Personal Check
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Traveler’s Check
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Detailed explanation-1: -Cashier’s check-A cashier’s check is a bank’s check. It is drawn on the bank’s funds and guaranteed by the bank. Such checks are signed by the cashier.
Detailed explanation-2: -Cashier’s Check: A check drawn by the bank on itself, rather than on a drawer’s account, which constitutes the bank’s (i) promise to pay the payee on presentment and (ii) assumption of liability if the bank fails to pay. A teller’s check is usually drawn by a bank on another bank.
Detailed explanation-3: -The payor writes the check and presents it to the payee, who then takes it to their bank or other financial institution to negotiate for cash or to deposit into an account. The use of checks allows two or more parties to make a monetary transaction without the need of actually exchanging physical currency.
Detailed explanation-4: -Examples of nonbank financial institutions include insurance firms, venture capitalists, currency exchanges, some microloan organizations, and pawn shops.