FOR THE FOLLOWING QUESTIONS, INDICATE WHETHER THE ANSWER IS TRUE OR FALSE.

21.Suppose that Henry impersonates a famous comedian and goes into a shop and convinces

the merchant to issue a check to him in the name of the famous comedian, purportedly as part of a fundraising campaign for covid virus care. If Henry negotiates the check to a check cashing store by signing the name of the comedian and it is then sent on for collection and paid, the merchant will be able to demand re-credit of his account on the ground of forgery.

22.Assume that David goes to an ATM at Apple Bank on January 15^th but discovers his access card is missing and does not notify his bank until January 30^th.If Bill, the thief who stole David's

card, withdraws $200 from David's account on January 25^th, then Apple Bank will probably be required to pay the loss.

23.The first bank to receive a check for payment is the intermediary bank.

24.If a mortgage note states that it is both secured by a mortgage and subject to the terms and conditions of the mortgage, then it will be deemed to be negotiable.

25.Assume that Harry fraudulently induces Joe to sign a promissory note for $ 500. If Harry

transfers the promissory note to Jack for valid consideration, then Jack will be able to collect the debt from Joe - despite the fraudbecause he was an innocent third party.

26.Suppose that Mike finds a negotiable instrument that says "payable to order of bearer".

If Mike attempts to cash the instrument, his request will be not be honoredby the drawee

because it has no way of verifying whether he was the one to properly hold the instrument.

27.AUS government check or draft must be presented for payment within six months from the date of issuance.

28. Order paper may be converted to bearer paper but bearer paper may not be converted

to order paper.

29. The Statute of Limitations for "warranty liability" of a negotiable instrument is six years.

30.In the event of a conflict between numbers and words on a negotiable instrument,

numbers control unless they are unclear or ambiguous.