Distinguish between bill of exchange and promissory note.

Explanation

Bill of Exchange

i. A legal instrument issued to order the person to pay the soul an exact add of cash at intervals a selected date or on demand.

ii. Mentioned in Section five of the Negotiable Instruments Act, 1881.

iii. Issued By Creditor

iv. Three parties involved i.e a drawer, the drawee and a payee.

v. Drawee needs to accept the bill of exchange before payment.


Promissory Note

...