The banking process has changed a lot in the last twenty years, yet banks and bank customers continue to use and process hard copy checks. Many employers routinely use checks as means of paying their employees. This homework deals with the topics of banks and their customers. The PowerPoint for this week will help with this homework.

In this homework, you must address the rules associated with the issuance, receipt, and processing of an ordinary check (i.e. not a cashiers or certified check). You may assume that Barnhill Roofing Company, the buyer and drawer, issued a check for $4,299 to Sample Housing Products, the seller and payee, for the purchase of shingles used by Barnhill in two of their upcoming jobs. Barnhills bank is First Bank of Guthrie, Oklahoma. Samples bank is Bank of Arkansas (BOArk).

Typically, when Sample receives a check it deposits it at BOArk.

Keep this scenario in mind when answering the following questions.

1.) What if Barnhill believes it received defective shingles and wants to stop payment? Possible? Explain.

2.) How do Check 21 rules affect this banking process?

3,) Fill in the blanks with "yes" or "no" in the table below:

If the Drawee: Forged Signature Forged Indorsement Materially Altered Unauthorized Check Completion Pays on the check, can it charge the Drawer's account? Refuses to pay on the check, can an HDC presenter recover against the Drawer