In late January, Kurtz Enterprises purchased office supplies from Kilgore Equipment. It paid with a promissory note for $25 000 that was made to the order of Kilgore Equipment and was due on September 1. In June, Kilgore specially endorsed the note and sold it to Willard Financial Inc. On September 1, Willard tried to claim $25 000 from the maker, only to discover that Kurtz Enterprises had disappeared. Over the next week, the president of Willard discussed the situation with her lawyer and accountant. On September 8, she contacted Kilgore Equipment and demanded payment. She took the position that Kilgore was liable on the basis of its endorsement. Is she correct? Explain your answer.