Asked by Deneatra Caesar on Jul 07, 2024
Verified
A promissory note is a credit instrument.
Promissory Note
A financial instrument involving a written promise by one party to pay another party a definite sum of money either on demand or at a specified future date.
Credit Instrument
A document that represents a legal agreement involving any kind of financial credit or loan arrangement, including promissory notes, bonds, and letters of credit.
- Discern the properties and classifications of negotiable instruments, encompassing checks and promissory notes.
Verified Answer
AG
alexandra garciaJul 10, 2024
Final Answer :
True
Explanation :
The promissory note is a credit instrument;it is used in a wide variety of transactions in which credit is extended.
Learning Objectives
- Discern the properties and classifications of negotiable instruments, encompassing checks and promissory notes.