One who is in possession of a negotiable instrument that is drawn, issued, or indorsed to him or to his order or that is indorsed in blank is a(n) :

A) bearer.
B) holder.
C) transferor.
D) assignee.

A holder is a person who has legal possession of a negotiable instrument and is entitled to enforce it. The bearer refers to the person who possesses a negotiable instrument that is payable to the bearer, while an assignee is someone to whom the rights of a negotiable instrument have been transferred. Transferor refers to the party who transfers the instrument to another party.