Which of the following statements about bills is NOT correct?

Multiple Choice

• At maturity for a bank-accepted bill, the acceptor will pay face value to the holder.

• There is an active secondary market in bank-accepted bills.

• The drawer has a liability with a bank-accepted bill to pay face value to the acceptor bank.

• Once a bill has been discounted into the marketplace, the cost of funds will vary for the issuer.

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