Revision Notes for CBSE Class 11 Accountancy Chapter 8 - Free PDF Download
Understanding and learning all the important topics and concepts is essential for students to acquire good scores in exams. With these revision notes, you can clear all your doubts, concepts and tops introduced in the chapter which will help you learn faster. Experts at Vedantu have created the Chapter 8 Bills of Exchange notes based on the syllabus prescribed by CBSE. Our goal is to make learning flexible and convenient for students. Class 11 Accountancy Chapter 8 Notes are available to download in the PDF format on the official website of Vedantu. We believe that it will allow you to learn from anywhere without restrictions.
FAQs on Bill of Exchange Class 11 Notes CBSE Accountancy Chapter 8 [Free PDF Download]
1. Name the parties that are involved in a bill of exchange.
Three parties that are involved in a bill of exchange are:
2. What is meant by the renewal of a bill?
To prevent dishonour of the bill, the drawee may ask the drawer to issue a new bill with new terms in exchange for the cancellation of the old one. This is called renewal of a bill.
3. What is the importance of bills of exchange according to Chapter 8 of Class 11 Accountancy?
A bill of exchange can assist mitigate some of the hazards of exporting. Because currency rate changes may have a significant impact on long-term business agreements between companies in various countries, exporters can rely on the set payment terms outlined in a bill of exchange. It allows enough time for the consumer to pay for the purchases. It establishes a legal foundation for the seller to pursue a case against the purchaser if payment is not received on time.
4. Why is a bill of exchange unconditional according to Chapter 8 of Class 11 Accountancy?
The bill of exchange is an unconditional command to pay a specific amount on a certain day, whereas the promissory note is an unconditional promise to pay a specific amount on a specific date. A conventional bill of exchange will include several important details. It will, first and foremost, include an unconditional order to pay a certain sum of money, as well as the identity of the person or corporation that must pay that money. It's a request for payment. The payment order is not conditional.
5. What is the bill of exchange and its types as discussed in Chapter 8 of Class 11 Accountancy?
A bill of exchange is a strict instruction given by one party to its trading partner to compensate a negotiated amount of money on a fixed date for goods and/or facilities received. Exporting generally entails a different set of hazards than domestic commerce, which may be new to business owners. Types of bill exchange:
6. What is noting of a bill of exchange according to Chapter 8 of Class 11 Accountancy?
A handy method of validating the fact that a bill or note has been dishonoured is to make a note of it. When a bill is not honoured despite being properly presented, it is always preferable for the fact to be documented by a Notary Public. It verifies the truth of disgrace in this way. When a bill is dishonoured, the holder can protest by having the fact not only documented but also verified by a Notary Public that the bill has been dishonoured.
7. What is the definition of a Promissory Note as explained in Chapter 8 of Class 11 Accountancy?
A promissory note is a written instrument (excluding a banknote or a currency note). This document includes a maker's commitment to pay a specified sum of money to the order of a specific person or bearer of the instrument. Students can study the meaning of a promissory note under the Negotiable Instruments Act of 1981, as well as the parties involved, in the Bills of Exchange Class 11 Notes provided on Vedantu’s website (vedantu.com) that can be downloaded absolutely free of cost.