A negotiable instrument payable 'on demand' is transferable by:
AOnly delivery
BEndorsement and delivery if payable to order; delivery alone if payable to bearer
CNotarised assignment
DStamped power of attorney
Answer & Solution
Correct answer: B. Endorsement and delivery if payable to order; delivery alone if payable to bearer
1. Section 14 — instrument payable to order requires indorsement + delivery; one payable to bearer requires only delivery.
2. This is a fundamental rule of negotiability.
3. Hence (B).
_Source: ICAI BoS CA Inter Paper 2 — Negotiable Instruments Act 1881_