Q322
Which of the following instruments is not a negotiable instrument?
A.
Bearer cheque
B.
Promissory note
C.
Crossed cheque
AnswerD.
Bills of exchange
Answer: Option C
Solution
Answer: Option C
Solution:
Crossed cheque is not a negotiable instrument. A cheque is a negotiable instrument. It can either be open or crossed. While a crossed cheque is not payable over the counter but shall be collected only through a banker. The amount payable for the crossed cheque is transferred to the bank account of the payee.