Payment of bill on its due date is known as ________________.

Honouring of bill

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Dishonouring of bill

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Renewal of bill

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Discounting of bill

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Solution

The correct option is A Honouring of bill
When the Drawee makes payment of the bill after its exact tenure i.e on its due date, it is said that the bill is honoured.

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Payment of bill on its due date is known as ________________.

The correct option is A Honouring of billWhen the Drawee makes payment of the bill after its exact tenure i.e on its due date, it is said that the bill is honoured.

The correct option is A Honouring of bill
When the Drawee makes payment of the bill after its exact tenure i.e on its due date, it is said that the bill is honoured.