Home › CA Foundation › businesslaw › The Negotiable Instruments Act, 1881 › Under Section 6, a 'cheque' is:
Under Section 6, a 'cheque' is:
AA bill of exchange drawn on a specified banker and payable only on demand (including electronic/truncated cheques)
BAny promissory note payable on demand
CAn order to pay at a future date
DA negotiable instrument payable to bearer only
Answer & Solution
Correct answer: A. A bill of exchange drawn on a specified banker and payable only on demand (including electronic/truncated cheques)
A cheque is a bill of exchange drawn on a specified banker, payable on demand; it includes a cheque in electronic form and the image of a truncated cheque.
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