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When a promissory note, bill of exchange, or cheque is transferred to any person, so as to constitute that person the holder thereof, the instrument i
Question

When a promissory note, bill of exchange, or cheque is transferred to any person, so as to constitute that person the holder thereof, the instrument is said to be:

A.

Negotiated

B.

Indorsed

C.

Accepted

D.

Transferred

Correct option is A


As per the Negotiable Instruments Act, when a negotiable instrument is transferred to another person and they become the holder, it is said to be "negotiated."

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