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Practice Questions
Test your understanding with targeted questions related to the topic.
Question 1
Easy
What is an accommodation bill?
💡 Hint: Think about how it helps parties in need of funds.
Question 2
Easy
Who typically uses accommodation bills?
💡 Hint: Consider scenarios where money is tight.
Practice 4 more questions and get performance evaluation
Interactive Quizzes
Engage in quick quizzes to reinforce what you've learned and check your comprehension.
Question 1
What is an accommodation bill?
- A bill for a genuine transaction
- A bill without real transaction
- A loan agreement
💡 Hint: Focus on the core definition of what an accommodation bill entails.
Question 2
True or False: Accommodation bills are legally enforceable.
- True
- False
💡 Hint: Consider if they are bound by terms like other bills.
Solve and get performance evaluation
Challenge Problems
Push your limits with challenges.
Question 1
A company draws an accommodation bill for $10,000 with an acceptor who is already in debt. Discuss the risks involved for both parties if this bill is dishonored.
💡 Hint: Evaluate potential impacts on cash flow and relationships.
Question 2
Analyze how frequent reliance on accommodation bills might affect a company’s long-term creditworthiness with banks.
💡 Hint: Consider how lenders evaluate risk.
Challenge and get performance evaluation