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Originally Posted by David Merrill
Negotiable means they can be traded for higher forms of currency (FRNs for USNs). But if you have non-negotiable FRNs, then you are handling USNs in the form of FRNs.
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Negotiable does not mean they can be traded for higher forms of currency (FRNS for USNs). When a price is said to be negotiable, it means that the seller is open to the possibility of
reducing the price, not raising the price.
Investor words define negotiable as:
The ability to be sold or transferred to another party as a form of payment. Something which is negotiable is transferable by endorsement and delivery. A negotiable instrument could be a check made out to you, because you could endorse it for payment to you or transfer it to someone else as payment to them.