1) According to the law, all deposits with banks or banking institutions in the

country are confidential, and may not be examined or looked into by any
person, government, official, bureau or office. However, it does provide
exemptions. Which of the following is wrong?
a. In cases of impeachment
b. Upon order of a competent court in cases of bribery of duty of public
officials
c. The depositor gives permission orally
d. Cases where the money deposited or invested is the subject matter of the
litigation
2) The following are the parties primarily liable in instrument, which does not
belong?
a. Maker of a promissory note
b. Drawee of a bill of exchange
c. Certifier of a check
d. Acceptor of a bill of exchange
3) The production of a promissory note to the party primarily liable on the
instrument for the payment of the same, or of a bill exchange to the drawee
or acceptor for payment.
a. Presentment for payment
b. Discharge
c. Presentment for acceptance
d. Indorsement.
4) By any other act which discharges a simple contract for payment of money.
This cause of discharge includes, when applicable, the modes of
extinguishment of obligations. One of the following does not belong.
a. Loss of the thing due
b. Assignment
c. Prescription
d. Rescission
5) A bill of exchange may be treated as a promissory note in any of the following
cases, except.
a. Drawee is insane
b. Drawee is fictitious
c. Drawee is deaf-mutes who know how to read
d. Drawee is a minor
6) I. The holder may refuse to take a qualified acceptance.
II. The drawee is allowed 24 hours after presentation to decide whether or not
he will accept the bill.
III. A bill may be accepted while it is still incomplete.
Which of the following is/are not false?
a.
b.
c.
d.

I, II and III
II and III
I and III
I and II

7) Barney executed a promissory note payable to the order of Stinson. With

Peter as holder, the back of the note shows the following:
Pay to Peter (Sgd.) Stinson
Pay to Pan (Sgd.) Peter
Pay to Captain (Sgd.) Pan
Pay to Hook (Sgd.) Captain
Pay to Red (Sgd.) Hook
Red presents the note for payment to Barney, but Barney dishonors it. Which
of the following is not true?
a. Red can give notice of dishonor to Peter and Pan
b. Blue, a stranger can give notice on behalf of Red
c. Red can give notice to Captain and Hook only
d. If Red gives notice only to Captain, Captain cannot give notice to Hook.
8) Statement 1: When the principal debtor becomes the holder in his own right
before maturity, the instrument is discharge by confusion or merger.
Statement 2: The cancellation of a negotiable instrument which is made by
the holder is presumed to have been made intentionally.
a. Statement 1 is false
b. Statement 2 is false
c. Statement 1 & 2 are false
d. Statement 1 & 2 are true

9)

September 1, 2016
Thirty days after sight, pay to the order of Michael the sum of
P50,000
(Sgd.) Raphael
To: Leonardo

The above bill is negotiated by Michael to Donatello who presents the bill to
Leonardo for acceptance on September 5, 2016. The bill was accepted on
September 5, 2016. The date of maturity is?
a.
b.
c.
d.

October
October
October
October

Answers:cbabcacaa

5,
6,
7,
4,

2016
2016
2016
2016