Question 15
Purchase and Sale of GoodsA document that indicates obligation that is transferable by delivery and endorsement is a
- A.bill of lading
- B.bill of exchange
- C.documentary evidence
- D.negotiable instrument.
Show the answer and explanation
Answer: D (negotiable instrument.)
Explanation
Negotiable instruments such as cheques and bills of exchange are promises or orders to pay that can be transferred by endorsement and delivery.