NI Act

________ means 'something legally transferable from one person to another for a consideration'.

• Instrument

• Negotiable

• Negotiable Instruments

• All of the above

________ means a 'written document by which some legal rights are created in favor of some person'.

• Instrument

• Negotiable

• Negotiable Instruments

• All of the above

Negotiable Instrument means a promissory note, bills of exchange or a cheque, payable to ______

• Bearer

• Order

• either to bearer or order

• neither bearer nor order

A negotiable instrument is freely transferable, by delivery if it is a/an ________ instrument.

• Order

• Bearer

• Both order & bearer

• None of the above

A negotiable instrument is freely transferable by endorsement if it is a/an _______ instrument.

• Order

• Bearer

• Both order & bearer

• None of the above

The instrument must be taken in good faith and with a ____

• Interest

• Consideration

• Legal relation

• business motive

The number of parties to a bill of exchange is __

• 2

• 4

• 6

• 3

The number of parties to a promissory note is __

• 2

• 4

• 6

• 3

__________ cannot be a bearer instrument as per RBI guidelines.

• Promissory Note

• Bills of exchange

• Cheque

• None of the above

A promissory note or bill of exchange can be made payable___

• On demand

• On a specific date

• After a specific period

• All of the above