M issued a negotiable promissory note payable to the order of P for P100,000. This was for the merchandise M purchased from P. P, however, was only able to deliver merchandise worth P70,000 only. Later, P endorsed the note to A, A to B, and B to C. A and C knew about this, while B did not. Upon maturity, how much can C collect from M?

M issued a negotiable promissory note payable to the order of P for P100,000. This was for the merchandise M purchased from P. P, however, was only able to deliver merchandise worth P70,000 only. Later, P endorsed the note to A, A to B, and B to C. A and C knew about this, while B did not. Upon maturity, how much can C collect from M?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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