Asked by Chasity Fields on Jul 05, 2024
Verified
Mara has a checking account at North Bank. Mara signs a check "payable to Ovid" drawn on Mara's account. North Bank is
A) none of the choices.
B) the drawee.
C) the drawer.
D) the payee.
Drawee
The party upon whom a check, draft, or other negotiable instrument is drawn and is expected to pay.
Drawer
In banking and finance, the person who writes or issues a check or draft.
Payee
The individual or entity to whom a payment is made or owed, especially noted in the context of checks or promissory notes.
- Acquire knowledge on the positions and obligations of the drawer, drawee, and payee when dealing with checks.
Verified Answer
NF
Natalie FincherJul 12, 2024
Final Answer :
B
Explanation :
North Bank is the drawee because it is the bank on which the check is drawn and is responsible for paying the amount specified on the check to the payee.
Learning Objectives
- Acquire knowledge on the positions and obligations of the drawer, drawee, and payee when dealing with checks.