ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -A promissory note typically states that a borrower promises to repay a lender a certain amount of money by a specific date. These notes are legally binding and may include loan terms-like the principal amount, interest rate and payment schedule.

Detailed explanation-2: -A promissory note is a debt instrument that contains a written promise by one party (the note’s issuer or maker) to pay another party (the note’s payee) a definite sum of money, either on-demand or at a specified future date.

Detailed explanation-3: -A note payable is a written promissory note. Under this agreement, a borrower obtains a specific amount of money from a lender and promises to pay it back with interest over a predetermined time period.

Detailed explanation-4: -Bonds: these are medium and long-term debt securities, with a pre-established return. Promissory notes: they are debt securities with short-term maturities.

Detailed explanation-5: -Simple promissory note. Demand promissory note. Secured promissory note. Unsecured promissory note.