Question: A check drawn by Cullen for $ 5 0 0 is made payable to the order of Jordan and issued to Jordan. Jordan owes his

A check drawn by Cullen for $500 is made payable to the order of Jordan and issued to Jordan. Jordan owes his landlord $500 in rent and transfers the check to his landlord with the following indorsement: For rent paid, [signed] Jordan. Jordans landlord has contracted to have Deborah do some landscaping on the property. When Deborah insists on immediate payment, the landlord transfers the check to Deborah without indorsement. Later, to pay for some palm trees purchased from Better-Garden Nursery, Deborah transfers the check with the following indorsement: Pay to Better-Garden Nursery, without recourse, [signed] Deborah. Better-Garden Nursery sends the check to its bank indorsed For deposit only, [signed] Better-Garden Nursery.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!