Which of the following is NOT a requirement for a negotiable instrument under the UCC?

Answer options:

Be in writing and signed by the maker or drawer.

Contain an unconditional promise or order to pay a fixed amount of money.

Be payable on a specific date.

Be payable to order or to bearer.

How to approach this question

Requirements: Writing, Signed, Unconditional Promise, Fixed Amount Money, Demand/Definite Time, Order/Bearer.

Full Answer

C.Be payable on a specific date.✓ Correct

To be negotiable, an instrument must be payable on demand OR at a definite time. It does not necessarily require a specific date (e.g., a check is payable on demand).

Common mistakes

Thinking a date is mandatory (checks don't always have future dates).

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Practice the full CPA REG Practice Exam 5

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