Promissory Note

Promissory note is written unconditional promise which is signed by the maker to pay certain person or to the bearer of the instrument, a certain sum of money after certain period of time.

A promissory note is a legal instrument (more particularly, a financial instrument), in which one party (the maker or issuer) promises in writing to pay a determinate sum of money to the other (the payee), either at a fixed or determinable future time or on demand of the payee, under specific terms. If the promissory note is unconditional and readily salable, it is called a negotiable instrument.

Insolvency

A situation in which liabilities exceed assets and unable to pay liabilities is called insolvent.

Insolvency is that the inability of a debtor to pay their debt. income insolvency involves a lack of liquidity to pay debts as they fall due. balance sheet insolvency involves having negative net assets, wherever liabilities exceed assets. insolvency isn't a word for bankruptcy, that may be a determination of insolvency made by a court of law with resulting legal orders meant to resolve the insolvency.

Insolvent

A person whose liabilities exceed his assets and he is unable to pay his liabilities is called insolvent.

Insolvency is that the inability of a debtor to pay their debt. income insolvency involves a lack of liquidity to pay debts as they fall due. balance sheet insolvency involves having negative net assets, wherever liabilities exceed assets. insolvency isn't a word for bankruptcy, that may be a determination of insolvency made by a court of law with resulting legal orders meant to resolve the insolvency.

Mutual Accommodation

A situation in which bill of exchange is drawn for accommodation of both drawer and drawee is called mutual accommodation.

Generally a bill of exchange is drawn by a soul on his debtor to settle a trade debt. A soul could be a person who has sold  merchandise on credit basis and a debtor could be a one who has purchased merchandise on credit basis. Thus, a bill that is drawn by a soul and accepted by a debtor is thought as a bill of exchange.

Accommodation Bill

When bill of exchange is drawn, accepted without any consideration for accommodation of himself/accepter or for mutual accommodation is called accommodation bill. 

Bill of exchange supported by a reputable third party (called an accommodation party or accommodation endorser) acting as a guarantor, as a favor and while not compensation. The bill then are often discounted on the monetary strength of the guarantor who remains liable till the bill is paid. also known as accommodation note, accommodation paper,

General Acceptance

When bill is accepted without any condition by drawee is called general acceptance.

Qualified Acceptance of Bill of Exchange

When bill is accepted with some condition by drawee is called qualified acceptance.

An acceptance of bill of exchange that varies the result of the bill as drawn. It solely affects the rights of these previously liable on the bill. commonly the drawer presents the bill for acceptance and need not accept the qualification. If the bill has been negotiated before acceptance the holder isn't certain to take a certified acceptance once he presents the bill, could treat the bill as disgraced. If he takes a certified acceptance he releases from liability all previously signatories who did not assent. The partial acceptance, i.e., solely only the add mere, doesn't release the previous signatories providing they're notifies.