Question

Why is it important to draw a line up to the word dollars when writing the amount of a check in words?

Answer 1

Drawing a line up to the word 'dollars' on a check is vital for preventing fraud and ensuring the amount written cannot be altered, which is crucial as money is a unit of account used in financial transactions for clarity and accuracy.

Step-by-step explanation:

When writing a check, it is important to draw a line up to the word dollars after writing out the amount in words to prevent fraud or alterations. This practice ensures that no one can add any extra digits to the amount, thus maintaining the integrity of the written value. Since money serves as a unit of account and is used as an accounting method to measure values, maintaining precision and preventing fraudulent changes are essential for the clarity and accuracy of financial transactions.

Answer 2

Step-by-step explanation:

Writing the dollar amount in words is important for a bank to process a check as it confirms the correct payment total.