Which of the following is/are true about the Negotiable Instruments Act, the Promissory Note? 1. Definition of Promissory Note is given in section 8 of the Negotiable Instrument Act 2. Containing an unconditional undertaking 3. To pay a certain sum of money only to a specific person or the bearer 4. The seller is bound to accept the promissory note 5. A document was written and signed by the payer/maker

The correct answer is D. All of the above.

A promissory note is a written promise to pay a certain sum of money, either on demand or at a specified future date, to a specific person or to the bearer of the note. The definition of a promissory note is given in section 8 of the Negotiable Instruments Act, 1881. It states that a promissory note is an instrument in writing (not being a bank note or a cheque) containing an unconditional undertaking, signed by the maker, to pay a certain sum of money to or to the order of a specified person or to bearer.

The promissory note must contain the following essential elements:

1. An unconditional undertaking to pay a certain sum of money.
2. The name of the person to whom or to whose order the money is to be paid.
3. The date of the instrument.
4. The place where the money is to be paid.
5. The signature of the maker.

If a promissory note does not contain all of these essential elements, it may be unenforceable.

The promissory note is a negotiable instrument, which means that it can be transferred from one person to another by endorsement and delivery. The transferee of a negotiable instrument becomes the holder of the instrument and is entitled to enforce payment from the maker.

The promissory note is a valuable financial instrument that can be used to raise money or to secure a loan. It is important to understand the terms and conditions of a promissory note before signing one.