Question

A bill of exchange must be accepted by the payee.

• A. True
• B. False

Answer 1

The correct option is B False

The drawer and the payee are the same entity unless the drawer transfers the bill of exchange to a third-party payee. Unlike a check, however, a bill of exchange is a written document outlining a debtor's indebtedness to a creditor.

As well, a bill of exchange must be accepted by the drawee to be valid.