When bill is transferred to creditor it is called ____________.

Retaining the bill

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Discounting the bill

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Endorsing the bill

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Sending the bill to bank for collection

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Solution

The correct option is C Endorsing the bill
Endorsement means when a bill of exchange is signed for the purpose of transferring it to another person. The debtor signs the bill and transfers it to his/her creditor. On endorsement, the endorsee becomes entitled to receive the payment.

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When bill is transferred to creditor it is called ____________.

The correct option is C Endorsing the billEndorsement means when a bill of exchange is signed for the purpose of transferring it to another person. The debtor signs the bill and transfers it to his/her creditor. On endorsement, the endorsee becomes entitled to receive the payment.

The correct option is C Endorsing the bill
Endorsement means when a bill of exchange is signed for the purpose of transferring it to another person. The debtor signs the bill and transfers it to his/her creditor. On endorsement, the endorsee becomes entitled to receive the payment.