In accounting for the exchange bill, when the drawer draws a bill and drawee accepts it, drawee returns the bill to the drawer after accepting. Now, the drawer is the holder of the bill and he can use this bill in the following different ways except:a.By endorsing the billb.By sending the bill to the payeec.By discounting the billd.By holding the bill till the due date

Bills of Exchange can be used in a way such as; by holding the bill till due date, by discounting the bill, and by endorsing the bill.Select one:TrueFalse

In relation to a bank bill, endorsement means:Group of answer choicesthat the acceptor and endorser make an agreement as to who is liable for the repayment of the face value to the final holder of the bill.if the acceptor cannot repay the face value to the holder at maturity, it must draw a bill to meet its obligations.the endorser has a contingent liability when the bill matures.the drawer agrees to pay an additional fee to the acceptor for guaranteeing the repayment.

Which of the following statements about bills is NOT correct?Group of answer choicesThe drawer has a liability with a bank-accepted bill to pay face value to the acceptor bank.There is an active secondary market in bank-accepted bills.Once a bill has been discounted into the marketplace, the cost of funds will vary for the issuer.At maturity for a bank-accepted bill, the acceptor will pay face value to the holder.

What would be their journal entry for endorsement of Bills of Exchange to a creditor in the Holder's Books?a.No Entryb.Debit: Cash Account, Credit: Bills Receivable Accountc.Debit: Drawer's Account, Credit: Bills Receivable Accountd.Debit: Bills' Receivable Account, Credit: Drawer's AccountClear my choice

Who is primarily liable on a promissory note?a.Holderb.Endorserc.Makerd.Drawee