Easy transferability : A debt can be settled by transferring a bill of exchange through endorsement and delivery. Test Your Understanding - II Fill in the blanks with suitable word(s) (i) The person to whom the amount mentioned in the promissory note is payable is known as . (ii) Transfer of a negotiable instrument to another person by signing on it, is known as . (iii) In a promissory note, the person who makes the promise to pay is called as .
(iv) A person who endorses the promissory note in favour of another is known .