Concept:A bank draft is a cheque drawn by a bank on its own funds, meaning the bank draws it on itself.
Explanation:A bank draft is also called a banker's draft or banker's cheque.
When a customer requests a draft, the bank receives the money from the customer and then issues the draft from its own account.
So the draft is drawn by the bank on itself, not on another bank.
Because the bank has already collected the funds, a bank draft does not bounce due to insufficient funds.
The issuing bank guarantees payment, making the draft a secure and reliable instrument.
It is not drawn on creditors or directly on customers' deposits as a liability of the bank.
Hence, the bank itself is the drawee of the draft.
Answer:B. itself