Under the Negotiable Instruments Article of the UCC, which of the following provisions satisfies the requirement that an instrument, to be negotiable, must be payable at a definite time?
　　a. The instrument is undated and payable "30 days after date."
　　b. The instrument is dated and payable "15 days after sight."
　　c. The instrument is undated and payable "when the payee dies."
　　d. The instrument is dated and payable "in six months but the payor may extend this period indefinitely."
 
　　Explanation
　　Choice "b" is correct.
　　An instrument is payable at a definite time if it can be established from the face of the instrument when the obligation will become due. An obligation payable 15 days after sight is payable 15 days after it is presented for payment.
　　Choice "d" is incorrect.
　　Although six months is a definite time, the option of the payor to extend indefinitely the time for payment destroys negotiability.
　　Choice "a" is incorrect.
　　If an instrument is not dated, we cannot know when 30 days after date is. Therefore, this is not payable at a definite time.
　　Choice "c" is incorrect.
　　Although the payee will die some day, we do not know when, so the date of payment is not definite.
高顿网校微信二维码
关注高顿网校微信，*9时间获取AICPA考试时间提醒，体验全新备考方式
 
       高顿网校特别提醒：已经报名2014年AICPA考试的考生可按照复习计划有效进行！另外，高顿网校2013年AICPA考试辅导高清课程已经开通，通过针对性地讲解、训练、答疑、模考，对学习过程进行全程跟踪、分析、指导，可以帮助考生全面提升备考效果。
 
　　报考指南：2014年AICPA报考指南 
　　考前冲刺：AICPA 考试试题   考试辅导
　　高清网课：AICPA网络课程

展开全文