Advertisements
Advertisements
Question
Write a short note on:
Endorsement of a bill
Solution
Endorsement of a bill:
- Endorsement means signing on the face or back of a bill for the purpose of transferring the title of the bill to another person.
- The person who endorses is called the “Endorser”.
- The person to whom a bill is endorsed is called the “Endorsee”.
- The endorsee is entitled to collect the money.
APPEARS IN
RELATED QUESTIONS
Notary Public is ___________.
Find the odd one:-
Making payment of bill before the due date of maturity is known as ___________.
Person whose liabilities are more than his assets and is not in position to pay off his liabilities is _________.
A bill whose due date is calculated from the date of acceptance is known a ___________.
Answer in one sentence.
What is legal due date?
Write a short note on:
Discounting of a bill
Bela draws a bill for ₹ 2,00,000 on Prihaan for 4 months period. The bill is duly accepted and returned to Bela. One month after the date, Bela discounted the bill with bank @ 18% p.a.
On the due date, Prihaan dishonoured his acceptance. Bank paid noting charges ₹ 4,500. Prihaan requested Bela to renew the bill for further period of 2 months. Bela agreed and took the bill back from bank and received new acceptance for 40% amount of the bill with full amount of noting charges and cheque for 60% balance plus interest @ 12% p.a.
Write Journal of Bela and Prihaan for the above bill transactions.
Bina draws a bill on Tina for ₹ 24,000 on 6th Oct. 2022 for 3 months. Tina accepts the bill on the same date. Bina sends the bill to Bank for collection on 20th Oct. 2022. Before due date, Tina finds herself unable to make the payment of bill and request Bina to renew it. Bina agree to the proposal on condition that Tina should pay ₹ 10,000 in cash along with interest ₹ 800 and accept a new bill for 2 months for the balance. Tina retired the bill on 12th Jan. 2023 by paying ₹ 13,500.
Calculate legal due date for the following:
| Date of Bill | Period | Legal due date |
| 19th Jan. 2022 | 60 days | ? |
