Question

Conclusion of bills of exchange in trade bill

Answer 1

Answer:

Bills of exchange is a simple process of assuring the seller for future payments.

it consists of three parties drawer payer and drawee

A bill of exchange must be in writing. • It is an order to make payment. • The order to make payment is unconditional. • The maker of the bill of exchange must sign it. • The payment to be made must be certain. • The date on which payment is made must also be certain. • The bill of exchange must be payable to a certain person. • The amount mentioned in the bill of exchange is payable either on demand or on the expiry of a fixed period of time. • It must be stamped as per the requirement of law.