Practice Trade Bill (5.4.1) - Bills of Exchange - ICSE 11 Accountancy
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Trade Bill

Practice - Trade Bill

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Learning

Practice Questions

Test your understanding with targeted questions

Question 1 Easy

What is a Trade Bill?

💡 Hint: Think about what the Trade Bill represents in a commercial transaction.

Question 2 Easy

Who is the drawer in a Trade Bill?

💡 Hint: Consider who initiates the transaction.

4 more questions available

Interactive Quizzes

Quick quizzes to reinforce your learning

Question 1

What is a key feature of a Trade Bill?

It is a verbal agreement
It must be written and signed
It is just a receipt

💡 Hint: Consider what distinguishes formal contracts from informal agreements.

Question 2

True or False: A Trade Bill allows the buyer to pay immediately.

True
False

💡 Hint: Reflect on the purpose of using a Trade Bill in transactions.

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Challenge Problems

Push your limits with advanced challenges

Challenge 1 Hard

A manufacturer draws a Trade Bill on a retailer. Discuss what happens if the retailer refuses to accept it.

💡 Hint: Reflect on the consequences of non-acceptance for commercial relationships.

Challenge 2 Hard

Two businesses engage in a series of transactions using Trade Bills, but one business faces financial distress and can’t pay. Analyze how Trade Bills could affect their business operations and their creditors.

💡 Hint: Think about how relationships in business are affected by financial commitments and withdrawals.

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Reference links

Supplementary resources to enhance your learning experience.