When you meet someone in an abandoned parking lot to sell a suitcase full of stolen game-used jock straps from NBA players, you are likely to demand cash. No names. No paperwork.
However, for other commerce, a negotiable instrument represents a useful alternative. If you legitimately buy your game-used jock straps from the NBA players, complete with bills of sale and all the other legal niceties, you're happy to accept other forms of payment. A personal check, for instance...that represents the most common negotiable instrument.
The term refers to any document that guarantees payment of an amount of money. It typically designates the payer and the payee, and promises to provide cash on demand. It prevents people from having to carry around large chunks of cash all the time.
It's negotiable because, if needed, it can be signed over to someone else. Or, in the case of the check, it can be deposited in the bank, or exchanged for cash (though your bank might have rules about whether it will cash a check without deducting some fee).
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Finance: What is Fair Market Value?3 Views
Finance a la shmoop what is fair market value? double bubble toil and trouble [Man casting a curse]
what is the fair price of this pile of rubble so this term revolves around the
notion of fair like what is fair and by the way who told you the world was fair
anyway all right but financially fair or at least fair market means what the
market will fairly and legally pay for an asset that's fair and so that means [Man discussing financial fair]
fair as in not cash from a Somalian warlords leather briefcase but rather
fair as in the legitimate selling price of this excellent two-bedroom three-bath
shoebox in Palo Alto selling for 3 million dollars today for something to
be "of fair market" the buyer has to be knowledgeable and
unpressured i.e the somalian warlord does not in fact have a gun aimed
at the buyers head or any other body part and generally speaking [Gun aims at buyers body parts]
the market itself has to be a legitimate market like real estate or jewelry or
stocks or bonds or whatever if it's an illegitimate market well it's a probably
wondering why it was born out of wedlock so you can't do that
when you assess fair market value things have to be legal and liquid and well
fair whatever the market will pay for it that's the fair value [Hand dealing out cash]
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