A company which issues a promissory note in lieu of payment for goods purchased

A company which issues a promissory note in lieu of payment for goods purchased
  • A.
    can refuse to pay ondue date since it is only a promise
  • B.
    is bound to redeem the note for cash on due date
  • C.
    is not bound to renew the note before payment
  • D.
    can return the goods purchase and refuse to pay
Correct Answer: Option B
Explanation
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