Practice Acceptance Of The Bill (5.5.2) - Bills of Exchange - ICSE 11 Accountancy
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Acceptance of the Bill

Practice - Acceptance of the Bill

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Practice Questions

Test your understanding with targeted questions

Question 1 Easy

What does it mean to accept a bill of exchange?

💡 Hint: Think about what the drawee is agreeing to.

Question 2 Easy

What is the role of the acceptor?

💡 Hint: Remember the transformation from drawee.

4 more questions available

Interactive Quizzes

Quick quizzes to reinforce your learning

Question 1

What happens when a drawee accepts a bill of exchange?

They negotiate a lower amount.
They become the acceptor.
They refuse to pay.

💡 Hint: Think about the change in responsibility.

Question 2

True or False: Acceptance of a bill of exchange does not legally bind the drawee.

True
False

💡 Hint: Recall the consequences of acceptance.

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Challenge Problems

Push your limits with advanced challenges

Challenge 1 Hard

A company issues a bill of exchange for $50,000 to be paid in 90 days. The drawee accepts the bill. Explain the obligations of the acceptor upon acceptance.

💡 Hint: Consider the steps leading from acceptance to payment.

Challenge 2 Hard

You have a situation where a bill of exchange was accepted, but the drawee went bankrupt before the due date. What options does the payee have?

💡 Hint: Think about the implications of dishonor and bankruptcy.

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Reference links

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