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Questions: What type of instrument is Nora’s check prior to, and after she endorses the back of the check? What status does the unidentified woman have? Explain. Must the bank credit Nora’s account? Why or why not?

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Answer:

Prior to the incident, Nora's check was a blank endorsement and a negotiable instrument. After she endorses at the back of the check, it's still a negotiable instrument. It holds the component of written, signature, unconditional, fixed amount, payable on demand, and payable to a specific 

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