Question

Brie signs an instrument in which she promises to pay Carmen a certain price for her Dodge Dart. The instrument will be negotiable if it meets all of the requirements for negotiability, including that it is payable in
a. ​shares of stock equal in value to the market price of the car.
b. ​money.
c. ​goods equal in value to the market price of the car.
d. ​any of the choices

Answer 1

Answer:

B) ​money.

Explanation:

Characteristics of a negotiable instrument

1. Property: the individual or company that possesses the instrument is also considered its owner. Order instruments, e.g. checks, must be endorsed for transfer of property.
2. Title: the person that receives title of the instrument is called a transferee and is the holder in due course.
3. Rights: the transferee can take legal action to claim the honoring of the instrument.
4. Prompt payment: the due holder can anticipate prompt payment because dishonoring the instrument (not paying it) results in the "ruin of credit" of all parties involved in the instrument.
5. Monetary value: instruments carry a specific monetary value and must be paid in money.