Asked by Iqbal Qayum on May 05, 2024
Verified
Shania Watson has a checking account at the Capital Bank of New York.She goes to Lowe's and agrees to buy an electric water heater priced at $700.She writes a check to pay for it.Shania is the ________ of the check.
A) payer
B) drawer
C) payee
D) drawee
Drawer
In financial terms, the individual or entity that writes and signs a cheque or draft, instructing a bank to pay a specified sum of money from the drawer's account.
Drawee
The party directed by a draft or check to pay a certain amount of money, typically a bank.
Payee
The individual or entity to whom money is paid or owes to be paid.
- Understand the definition and roles of parties involved in the processing of checks, such as drawer, drawee, and payee.
Verified Answer
N2
Nick 23 MichaelMay 11, 2024
Final Answer :
B
Explanation :
One person (known as the drawer)orders a second person (the drawee)to pay a certain sum of money to a third person (the payee),to a person specified by that person,or to bearer.
Learning Objectives
- Understand the definition and roles of parties involved in the processing of checks, such as drawer, drawee, and payee.