Question

A draws a bill of exchange of $Rs.8,000$ on B for $4$ months on $15thApril$. What is the due date if on the due date a public holiday is suddenly declared?

• A. $19thAugust$
• B. $18thAugust$
• C. $17thAugust$
• D. $15thAugust$

Answer 1

The correct option is A $19thAugust$

In case due date for payment of loan or any other obligation falls on Public holiday/ saturday/ Sunday. Then is it payable on day earlier or later to due date.

4 months from bill of exchange drawn = 15th April to 15th Aug

Plus Grace period = 15 + 3 =18th Aug (public holiday)

Due date will be = 19th Aug.