Practice Payment (5.5.4) - Bills of Exchange - ICSE 11 Accountancy
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Learning

Practice Questions

Test your understanding with targeted questions

Question 1 Easy

Who is obligated to pay the amount on a bill of exchange?

💡 Hint: Think about who the bill is drawn upon.

Question 2 Easy

What can a payee receive as payment?

💡 Hint: Consider the various ways a person can get paid.

4 more questions available

Interactive Quizzes

Quick quizzes to reinforce your learning

Question 1

What is the drawee's obligation in a bill of exchange?

To pay the amount specified
To draw the bill
To endorse the bill

💡 Hint: Remember the party that is being instructed to pay.

Question 2

True or False: A payee has the right to receive payment on demand.

True
False

💡 Hint: Consider when a payee can request their payment.

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Challenge Problems

Push your limits with advanced challenges

Challenge 1 Hard

A company issues a bill of exchange for $10,000 to be paid by another company. The paying company refuses payment. Discuss the implications and possible actions the holder can take.

💡 Hint: Consider the role of the legal system in enforcing the bill.

Challenge 2 Hard

Create a detailed report explaining how companies can safeguard themselves against the risks of dishonor in bills of exchange.

💡 Hint: Think about financial strategies to reduce the risk of non-payment.

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Reference links

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