Lon gives Adam a $200 check as payment for a debt. Adam crudely raises the amount of the check to $1,200 and transfers it to Beta Computers for a new hard drive. Beta deposits the check in its City Bank account. Lon raises the defense of material alteration against payment of the check. Who is entitled to $1,200?
A. Adam only.
B. Beta and City Bank only.
C. Adam, Beta, and City Bank.
D. none of the above.
Mona, an employee of National Corporation (NC), is authorized to use a signed NC check to buy supplies. Mona fills out the check so that it states an amount $500 in excess of the purchase price and cashes it at Office Supply Store. When Office Supply Store presents the check for payment, it may recover
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A.
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nothing.
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B.
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the amount by which the check exceeded the price of the supplies.
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C.
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the amount stated in the check.
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D.
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the price of the supplies.
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