BUSINESS ADMINISTRATION
BUSINESS LAW
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Check
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Draft
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Commercial Paper
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Promissory Note
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Detailed explanation-1: -Pay order also called Banker’s Cheque is a type of payment which gets cleared in the same branch of the bank which issued it where demand drafts are a mode of payment which gets cleared in any branch of the issuing bank.
Detailed explanation-2: -A banker’s draft, also known as a banker’s cheque, is like asking a bank to write a cheque for you. You give them your money and they give you a cheque for that amount, to give to the person you’re paying. For this reason, they do not bounce because of a lack of funds.
Detailed explanation-3: -Bank drafts are also commonly known as bankers’ drafts and bank checks.
Detailed explanation-4: -Personal Check – A written order payable on demand, drawn on a bank by a depositor; a personal check is written against an individual’s fund as opposed to a cashier’s check, certified check, money order, or traveler’s check, all of which are written against bank funds.