negotiable instrument

Commercial paper {negotiable instrument}| can be transferable. To be negotiable, maker or drawer must sign commercial paper, which must have an unconditional promise to pay, be payable at a certain time or on bearer demand, and be payable to bearer or to order. Negotiable commercial paper is stocks, bonds, over-the-counter stocks, stock exchange transactions, and bank and finance company transfers. If it has conditions, it is a contract.

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Practical Affairs>Financial Affairs>Investing>Commercial Paper

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Date Modified: 2022.0224