Understanding Promissory Notes

What is the role of a promissory note?

• A promise to pay within one year of the issuing of the promissory note.

• A promise to pay with terms and conditions that include when and how much to pay.

• A promise to pay whenever you can.

• A promise to get a job.

What is a promissory note?

• A written promise to pay a specific amount of money at a future date

• A contract to borrow money from a bank

• A type of insurance agreement

• A certificate of deposit

Which of the following is NOT typically included in a promissory note?

• The amount to be paid

• The date of payment

• A description of the goods purchased

• The name of the payee

Who is the party that promises to pay in a promissory note?

• The payee

• The maker

From the promissory notes, identify the term of the note

• Two months after, 10% per annum

• Madam Sharifah

• 23 Feb 2024

• Kaira