Multiple Choice Multiple Answer

Question The three ingredients in the performance of a contract of sale by the seller are
Correct Answer Transfer of property in goods , The passing of the risk , Delivery of goods
Your Answer Delivery of goods , Transfer of property in goods , The passing of the risk

Select The Blank

Question A club or a society is an ________ of persons
Correct Answer association
Your Answer association

Select The Blank

Question A misrepresentation may be committed by causing a mistake ________
Correct Answer innocently
Your Answer intentionally

Multiple Choice Single Answer

Question The goods, which are identified and agreed upon at the time of a contract of sale,
are known as
Correct Answer Specific goods
Your Answer Specific goods

Multiple Choice Single Answer

Question the authority of the agent as it appears to others is called as
Correct Answer apparent authority
Your Answer apparent authority

Multiple Choice Single Answer

Question The essence of contract of sale is
Correct Answer sale of goods
Your Answer sale of goods

Multiple Choice Single Answer

Question Every company must have
Correct Answer A Specific name
Your Answer A Specific name

Multiple Choice Single Answer

Question The Negotiable Instrument Act is latest ammended in the year
Correct Answer 2002
Your Answer 2002

Multiple Choice Multiple Answer

Question Following are the characteristics of the partnership at will
Correct Answer Partners are always free to break their relationship at their whim , It is for
indefinite period
Your Answer Partners are always free to break their relationship at their whim , It is for
indefinite period

Select The Blank

Question A Company subject to the provisions of section 32 of the companies act as
unlimited may register under this Act as a ________
Correct Answer Limited company
Your Answer Limited company

True/False
Question Railway or S.T. Receipts, Dividend, Warrants, Railway Bonds are not Negotiable
Instrument.
Correct Answer False
Your Answer False

True/False
Question The subscriber of the memorandum of a company on its registration shall be
entered in its register of members as member.
Correct Answer True
Your Answer True

True/False
Question Power of attorney is an example of express authority.
Correct Answer True
Your Answer True

Multiple Choice Multiple Answer

Question Promissory note must be in
Correct Answer in writing , definite , unconditional
Your Answer in writing , definite , unconditional

True/False
Question In formal contracts consideration is not required.
Correct Answer True
Your Answer False

Select The Blank

Question The presumptions laid by Sec.118 & 119 of Negotiable Instrument Act do not arise
where negotiable instrument is obtained by ________
Correct Answer Fraud/Deceit
Your Answer Fraud/Deceit

True/False
Question Crossing of Cheques secures payment.
Correct Answer True
Your Answer True

Multiple Choice Multiple Answer

Question Goods Means
Correct Answer Debentures , Stocks & shares
Your Answer Debentures , Stocks & shares

Match The Following

Question Correct Answer Your Answer

Threatning to commit Coercion Coercion

Consideration Past, Present and Future Past, Present and Future

Mistake Fact and Law Fact and Law

Minor's Agreement Void ab initio Void ab initio

Match The Following

Question Correct Answer Your Answer

A stranger represents himself to be a partner Partner by holding out Partner by holding out

Not personally liable for any act of firm Minor Minor

Outgoing partner ceases to be a partner By transfer of interest of a partner By transfer of

interest of a partner

Dissolution of partnership firm by the order of the court Misconduct of a partner Misconduct
of a partner

True/False
Question When a person leaves country for a long time, he may appoint his son, wife or
friend as his universal agent.
Correct Answer True
Your Answer True

Multiple Choice Single Answer

Question Following is an implied condition
Correct Answer Condition as to title
Your Answer Condition as to death or insanity

Select The Blank

Question Agents are ________ to act within the scope of the authority given.
Correct Answer authorised
Your Answer authorised

Multiple Choice Single Answer

Question In the category of Negotiable Instruments which of the following is included
Correct Answer railway or S.T. receipt
Your Answer railway or S.T. receipt

Select The Blank

Question Issued capital can be defined as the ________ of shares which are offered to the
public for subscription.
Correct Answer nominal value
Your Answer excess value

True/False
Question Convicts are disqualified from contracting by the law to which they are subject.
Correct Answer True
Your Answer True

Multiple Choice Multiple Answer

Question Following are the general agents -
Correct Answer A manager of a branch office , Managing Director of a company ,
Commission agent
Your Answer A manager of a branch office , Managing Director of a company , Commission
agent

Multiple Choice Single Answer

Question In a sale if the seller becomes insolvent after a contract of sale & the buyer has paid
the price, the buyer can claim the goods from the official
Correct Answer Assignee
Your Answer Assignee

Multiple Choice Multiple Answer

Question Following persons can perform the contracts
Correct Answer promissor , agent , legal representative
Your Answer promissor , agent , legal representative

Multiple Choice Single Answer

Question Partner who DOES NOT share the profits of the firm is
Correct Answer Nominal partner
Your Answer Nominal partner

True/False
Question A company is created by law and not by natural birth.
Correct Answer True
Your Answer True

Multiple Choice Single Answer

Question A company can sue and also be sued by
Correct Answer In its corporate name
Your Answer Any third person

Multiple Choice Multiple Answer

Question No company shall be registered by name which has a name which is identical with
Correct Answer The name by which a company is in existence , A registered trade mark , A
trade mark which is subject of an application for registration
Your Answer The name by which a company is in existence , A registered trade mark , A
partnership firm

Multiple Choice Single Answer

Question Private company can commence its business immediately after receiving the
certificate of
Correct Answer Incorporation
Your Answer Incorporation

Multiple Choice Multiple Answer

Question A proposal
Correct Answer may be revoked at any time , may be revoked before the communication of
acceptance is complete , should be complete against the proposer
Your Answer may be revoked before the communication of acceptance is complete , should
be complete against the proposee

Multiple Choice Multiple Answer

Question The following types of companies are required to have their own articles
Correct Answer Unlimited companies , Companies limited by guarantee , Private companies
limited by shares
Your Answer Unlimited companies , Companies limited by guarantee , Private companies
limited by shares

Select The Blank

Question A Company subject to the provisions of section 32 of the companies act as
unlimited may register under this Act as a ________
Correct Answer Limited company
Your Answer Limited company

Multiple Choice Multiple Answer

Question Following are the element which constitute a partnership firm
Correct Answer There must be a contract regarding a partnership , There must be an
association of two or more persons
Your Answer There must be a contract regarding a partnership , The main object of carrying
on the business must be the sharing of liabilities for individual profits , There must be an
association of two or more persons

Select The Blank

Question The ________ of 1986 is basically passed to protect the interest of the consumer.
Correct Answer Consumer Protection Act
Your Answer Consumer Protection Act

Select The Blank

Question When the notice of stoppage in transit is given by the seller to the ________in
possession of goods, the latter must re-deliver the goods to the seller.
Correct Answer Carrier
Your Answer Buyer

Select The Blank

Question The Indian Contract Act, 1872, does not cover all those duties which are not
________ in nature.
Correct Answer contractual
Your Answer contractual

Multiple Choice Multiple Answer

Question A sale can be in case of
Correct Answer Specific goods , Existing goods
Your Answer Specific goods , Existing goods

Select The Blank

Question One man holds practically the ________ of the share capital of the one man
company.
Correct Answer whole
Your Answer whole

True/False
Question A Promissory Note contains conditional undertaking to pay a certain sum of
money.
Correct Answer False
Your Answer False

True/False
Question Directors of a private company need to file their consent with the registrar to act as
director or sign an undertaking.
Correct Answer False
Your Answer True

Multiple Choice Single Answer

Question The sale of goods is the most common of all
Correct Answer Commercial contracts
Your Answer Commercial contracts

Multiple Choice Multiple Answer

Question The types or kinds of mercantile agents are
Correct Answer Commission Agent , Broker , Auctioners
Your Answer Commission Agent , Broker , Auctioners

LIST OF ATTEMPTED QUESTIONS AND ANSWERS

Multiple Choice Multiple Answer

Question Following are the conditions needed to prove that an act of a partner is an act of a
partnership firm
Correct Answer an act be done in an ordinary course of business of a partnership firm , It
must be related to the business of the firm , Act must have been done in the name and on
behalf of the firm
Your Answer an act be done in an ordinary course of business of a partnership firm , It must
be related to the business of the firm , Act must have been done in the name and on behalf of
the firm

Multiple Choice Multiple Answer

Question Presumptions do not arise where an instrument is obtained by
Correct Answer fraud , offence , illegal consideration
Your Answer fraud , offence , illegal consideration

Match The Following

Question Correct Answer Your Answer

Trade in relation to any goods Who distributes goods Who distributes goods

Manufacturer Who makes any goods Who makes any goods

Consumer Dispute Dispute between consumer and manufacturer or trader Dispute between
consumer and manufacturer or trader
Complaint of Consumer Any allegation in writing Any allegation in writing

Multiple Choice Single Answer

Question Ratification of minor's agreement by him on attaining majority
Correct Answer cannot be possible
Your Answer is possible

True/False
Question Copies of memorandum and articles shall not be given to members.
Correct Answer False
Your Answer True

True/False
Question When a person is entrusted with another's property, he may be appointed as an
agent by necessity.
Correct Answer True
Your Answer True

Multiple Choice Multiple Answer

Question A sale can be in case of
Correct Answer Specific goods , Existing goods
Your Answer Specific goods , Existing goods

Select The Blank

Question Acceptance of a lesser performance than what was actually contracted for is known
as ________.
Correct Answer remission
Your Answer remission

Select The Blank

Question The act done by the agent with the permission and on behalf of the principal is
________ on the principal.
Correct Answer binding
Your Answer binding

Multiple Choice Multiple Answer

Question Every Prospectus shall state the matters specified in part I of schedule II of the
Companies Act issued by
Correct Answer Or on behalf of a company , Or on behalf of any person engaged in
formation of company , Or on behalf of any person interested in formation of company
Your Answer Or on behalf of a company , Or on behalf of any person engaged in formation
of company , Or on behalf of any person interested in formation of company

Multiple Choice Single Answer

Question The goods, which are owned and possessed by the seller at the time of sale, are
known as
Correct Answer Existing goods/Specific goods
Your Answer Existing goods/Specific goods
Multiple Choice Single Answer
Question One man company is generally a
Correct Answer private company
Your Answer private company

Select The Blank

Question In ________ contract, all the parties perform their promise.
Correct Answer an executed
Your Answer an executed

Select The Blank

Question Articles are ________ to and controlled by the memorandum.
Correct Answer subordinate
Your Answer subordinate

True/False
Question Persons who have entered into partnership with one another are called individually
partners and they are collectively "a firm"
Correct Answer True
Your Answer True

Multiple Choice Single Answer

Question The seller can file a suit against the buyer for the price of goods only after
Correct Answer the property in goods is transferred to the buyer
Your Answer the property in goods is transferred to the buyer

Match The Following

Question Correct Answer Your Answer

Unpaid seller Right of lien on goods Right of lien on goods

Future goods Agreement to sell Agreement to sell

Identified goods Ascertained goods Ascertained goods

Unascertained goods Generic goods Movable Goods

Multiple Choice Multiple Answer

Question Goods Means
Correct Answer Debentures , Stocks & shares
Your Answer Debentures , Stocks & shares

Select The Blank

Question Shelf prospectus is a prospectus issued by any ________ institutions for one or
more issues of the securities.
Correct Answer financial
Your Answer financial

Select The Blank

Question The person who buys the goods for trading purposes is not a ________ under the
Consumer Protection Act, 1986.
Correct Answer consumer
Your Answer consumer

True/False
Question All money payable by any member to the company under the memorandum or
articles shall be debt from time to the company.
Correct Answer True
Your Answer True

True/False
Question In case the object of an agency becomes unlawful, the agency can not be
terminated.
Correct Answer False
Your Answer False

Multiple Choice Single Answer

Question A spiritual adviser (Guru) induced his people to gift their property to him to secure
benefits to them in the next world. The contract
Correct Answer is void on the ground of undue influence as no reasonable man will do it
Your Answer is void on the ground of undue influence as no reasonable man will do it

Multiple Choice Multiple Answer

Question The memorandum of Association of a company is very important. It contains
Correct Answer The name clause , The objects clause , The capital clause
Your Answer The name clause , The objects clause , The capital clause

Multiple Choice Multiple Answer

Question A declaration given for the registration of company is given by
Correct Answer An advocate of Supreme Court , An attorney entitled to appear before a High
Court , A Pleader entitled to appear before a High Court
Your Answer An advocate of Supreme Court , An attorney entitled to appear before a High
Court , A Judge of a District Court

Select The Blank

Question The confirmation of change of registered office of company within a state shall be
communicated to the company within ________ from the date of receipt of such application.
Correct Answer Four weeks
Your Answer Three months

True/False
Question The term business includes every lawful trade, occupation and profession.
Correct Answer True
Your Answer True

Select The Blank

Question Future consideration is also known as ________ consideration.
Correct Answer executory
Your Answer executory

Multiple Choice Single Answer

Question A company which is not a private company is
Correct Answer Public company
Your Answer Public company

Multiple Choice Single Answer

Question The Consumer Protection Act makes available certain new remedies leaving the
Correct Answer Subtantive rights of the consumer intact
Your Answer Subtantive rights of the consumer intact

Select The Blank

Question Substitution of a new contract in the place of the old one means ________.
Correct Answer Novation
Your Answer Novation

Multiple Choice Multiple Answer

Question The object of the contract should be
Correct Answer legal one , lawful
Your Answer legal one , lawful

Multiple Choice Multiple Answer

Question The exceptions to the Wagering Agreement are
Correct Answer Cross-word competitions , Horse-race
Your Answer Cross-word competitions , Lottery

Select The Blank

Question The company does not possess ________ still it is a person in the eyes of law.
Correct Answer fundamental rights
Your Answer constitutional rights

Multiple Choice Multiple Answer

Question An unregistered firm can institute a criminal proceeding
Correct Answer The wrongful use of the trade mark , The wrongful use of the firm name
Your Answer The wrongful use of the trade mark , The wrongful use of the firm name

True/False
Question Alteration of memorandum or articles etc. to be noted in every copy.
Correct Answer True
Your Answer True

Multiple Choice Single Answer

Question Unpaid seller's right to stop the goods in transit arises only when the buyer becomes

Correct Answer insolvent

Your Answer insolvent

True/False
Question The relation between a doctor and his patient is not fiduciary in nature.
Correct Answer False
Your Answer False

Select The Blank

Question An agency is based upon the ________
Correct Answer consent
Your Answer consent

Multiple Choice Single Answer

Question A Cheque is always payable on
Correct Answer Demand
Your Answer Demand

Multiple Choice Single Answer

Question Under a contract of sale, the property in goods is
Correct Answer Immediately transferred from the seller to the buyer
Your Answer Immediately transferred from the seller to the buyer

Multiple Choice Multiple Answer

Question Following are the agencies of a three tier system of consumer disputes redressal
agencies
Correct Answer State commission , National commission , District Forum
Your Answer State commission , National commission , District Forum

Multiple Choice Single Answer

Question The main aim and important criterion of decoding the commercial purpose is
whether the aim of purchasing the goods is to
Correct Answer earn profit
Your Answer earn profit

Multiple Choice Single Answer

Question For the formation of the contract of sale of goods, there should be
Correct Answer Two parties
Your Answer Two parties

True/False
Question Section 10 of the Indian Contract Act, 1872 applies to contract of sale.
Correct Answer True