Question

Kinds of Negotiable Instruments
The person on whom the bill is drawn is known as the -.

• A. Drawee
• B. Drawer
• C. Payee
• D. Endorser

Answer 1

The correct option is A Drawee

There are certain common parties to the negotiable instruments

1. Maker: the person who signs the promissory notes.

2. Drawer: the maker of the Bill of Exchange or a Cheque is called Drawer.

3. Drawee: the person who is directed to pay on whom the bill is drawn.

4. Payee: the person who will receive the money.

5. Acceptor: when the drawee signs on the bill for the consent, he becomes acceptor.