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A person who draws the bill of exchange is known as ______. - Book Keeping and Accountancy

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Question

A person who draws the bill of exchange is known as ______.

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Solution

A person who draws the bill of exchange is known as drawer.

Explanation:

The Drawer is the person who creates or writes the bill of exchange (usually the seller or creditor). By signing the document, they order the Drawee (the buyer or debtor) to pay a specific sum of money at a future date.

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Chapter 7: Bills of Exchange - Exercise 7.1 (Objective Questions) [Page 302]

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Balbharati Book-Keeping and Accountancy [English] Standard 12 Maharashtra State Board
Chapter 7 Bills of Exchange
Exercise 7.1 (Objective Questions) | Q E. 6) | Page 302
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