Final answer:
When a bank pays a check in cash to the payee and it is returned to the drawer, the bank's settlement is considered final.
Step-by-step explanation:
When a bank pays a check in cash to the payee and the check is later returned to the drawer with the next bank statement, the bank's settlement is said to be final. This means that the bank has completely fulfilled its obligation to the payee and the transaction is considered closed.
For example, if John writes a check for $100 to Jane, and the bank pays Jane $100 in cash, the bank's settlement is considered final. If the check is later returned to John with the bank statement, it indicates that the transaction has been completed.
Other options like provisional, in due course, and honored do not accurately describe the situation when the check is returned to the drawer after being cashed.