Q1: 1. What does the term "maturity" refer to in the Negotiable Instruments Act 1881?

• A) A) The date of creation of the instrument
• B) B) The date on which the instrument becomes due for payment
• C) C) The date when the instrument is negotiated
• D) D) The date when the instrument is dishonored

Q2: 2. A bill of exchange dated on 1st January 2020, payable after 60 days, will mature on

• A) A) 1st February 2020
• B) B) 1st March 2020
• C) C) 1st April 2020
• D) D) 1st May 2020

Q3: 3. If a promissory note is payable on demand, its maturity date is

• A) A) Not defined
• B) B) 30 days from the date of issuance
• C) C) 90 days from the date of issuance
• D) D) 180 days from the date of issuance

Q4: 4. When does a bill of exchange mature if it is payable at a fixed period after sight and accepted on 1st January 2020?

• A) A) 1st February 2020
• B) B) 1st March 2020
• C) C) 1st April 2020
• D) D) Dependent on the date of acceptance

Q5: 5. In case of a cheque, the maturity date is

• A) A) The date of issuance
• B) B) The date of presentation for payment
• C) C) The date of negotiation
• D) D) The date of dishonor

Q6: 6. A promissory note dated 15th July 2020, payable after 3 months, will mature on

• A) A) 15th October 2020
• B) B) 15th November 2020
• C) C) 15th December 2020
• D) D) 15th January 2021

Q7: 7. What happens if a negotiable instrument is not paid on its maturity date?

• A) A) It becomes void
• B) B) It can be renegotiated for a new maturity date
• C) C) It is dishonored
• D) D) It is cancelled

Q8: 8. If a bill of exchange is payable after a certain period from the date of acceptance, the maturity date is calculated from

• A) A) Date of drawing
• B) B) Date of acceptance
• C) C) Date of negotiation
• D) D) Date of dishonor

Q9: 9. When does the maturity of a promissory note payable on demand occur?

• A) A) On the date of issuance
• B) B) On the date of acceptance
• C) C) On the date of negotiation
• D) D) On the date of demand for payment

Q10: 10. What is the significance of maturity in negotiable instruments?

• A) A) It indicates the date of creation
• B) B) It determines the validity of the instrument
• C) C) It marks the due date for payment
• D) D) It signifies the date of cancellation

Q11: 11. If a bill of exchange is payable 90 days after sight and it is accepted on 1st February, when will it mature?

• A) A) 1st April
• B) B) 1st May
• C) C) 1st June
• D) D) Depends on the date of presentation

Q12: 12. A cheque is presented for payment after its maturity date. What will be the status of the cheque?

• A) A) Honored
• B) B) Dishonored
• C) C) Renewed
• D) D) Cancelled

Q13: 13. How is the maturity date of a promissory note calculated if it is payable after a specific period from the date of sight?

• A) A) From the date of issuance
• B) B) From the date of acceptance
• C) C) From the date of negotiation
• D) D) From the date of sight

Q14: 14. In a bill of exchange, if the maturity date falls on a bank holiday, when should the payment be made?

• A) A) Next working day
• B) B) Previous working day
• C) C) After two days
• D) D) No specific rule

Q15: 15. What action can the holder of a dishonored promissory note take after its maturity date?

• A) A) Cancel the note
• B) B) File a legal case
• C) C) Request for extension
• D) D) Negotiate with the issuer

Q16: 16. What happens if a promissory note is not payable on demand and no maturity date is specified?

• A) A) It is void
• B) B) It matures after 3 months
• C) C) It is payable on sight
• D) D) It is payable on demand

Q17: 17. If a bill of exchange is dishonored on its maturity date, who becomes liable for payment?

• A) A) Drawer
• B) B) Payee
• C) C) Acceptor
• D) D) Endorser

Q18: 18. When is the maturity date of a promissory note considered to be on a holiday?

• A) A) If it falls on a Sunday
• B) B) If it falls on a Saturday
• C) C) If it falls on a bank holiday
• D) D) If it falls on a working day

Q19: 19. What action should be taken by the holder of a dishonored bill of exchange after its maturity date?

• A) A) Negotiate for a new maturity date
• B) B) Cancel the bill
• C) C) Initiate legal proceedings
• D) D) Extend the payment period

Q20: 20. In the case of a post-dated cheque, when does the maturity date occur?

• A) A) On the date of issuance
• B) B) On the date written on the cheque
• C) C) On the date of negotiation
• D) D) On the date of presentation

Q21: 21. If a promissory note is payable on a specific event occurring, when does it mature?

• A) A) On the date of issuance
• B) B) On the date of acceptance
• C) C) On the occurrence of the specified event
• D) D) On the date of presentation

Q22: 22. What action should a payee take if a cheque is presented for payment after its maturity date?

• A) A) Accept the payment
• B) B) Return the cheque to the drawer
• C) C) Negotiate for a new cheque
• D) D) Lodge a complaint

Q23: 23. If a bill of exchange is payable at a fixed period after date, when does it mature?

• A) A) On the date of drawing
• B) B) On the date of acceptance
• C) C) On the date of negotiation
• D) D) After the specified period from the date of drawing

Q24: 24. When does the maturity of a bill of exchange payable at a fixed period after sight occur?

• A) A) On the date of drawing
• B) B) On the date of acceptance
• C) C) On the date of negotiation
• D) D) After the specified period from the date of acceptance

Q25: 25. What is the consequence of failing to present a cheque for payment before its maturity date?

• A) A) The cheque becomes invalid
• B) B) The drawer is not liable for payment
• C) C) The cheque becomes stale
• D) D) Legal action can be taken against the drawer