| 1. |
An agreement enforceable by law is |
| A. | agreement |
| B. | contract |
| C. | offer |
| D. | promise |
| Answer» B. contract | |
| 2. |
Every promise and every set of promises, forming the consideration for each other is an |
| A. | agreement |
| B. | offer |
| C. | contract |
| D. | acceptance |
| Answer» A. agreement | |
| 3. |
In a contract of indemnity the right of the indemnifier is similar to that of the: |
| A. | debtor |
| B. | creditor |
| C. | surety |
| D. | agent |
| Answer» C. surety | |
| 4. |
In a contract of indemnity, minimum no of parties are |
| A. | 4 |
| B. | 3 |
| C. | 2 |
| D. | 1 |
| Answer» C. 2 | |
| 5. |
The sale of goods act is of: |
| A. | 1903 |
| B. | 1923 |
| C. | 1930 |
| D. | 1932 |
| Answer» C. 1930 | |
| 6. |
Seller is a person who |
| A. | sells |
| B. | buys |
| C. | debtor |
| D. | transferee |
| Answer» A. sells | |
| 7. |
Document of title includes |
| A. | business reports |
| B. | railway receipt |
| C. | cash memo |
| D. | |
| Answer» B. railway receipt | |
| 8. |
A person coming forward to accept after it has been dishonoured is called: |
| A. | acceptor for honour |
| B. | acceptor for paying |
| C. | payment for honour |
| D. | holder |
| Answer» A. acceptor for honour | |
| 9. |
Protest for better security is done for publicity stunt. |
| A. | true |
| B. | false |
| C. | attention |
| D. | fun |
| Answer» B. false | |
| 10. |
When an instrument is lost, it is presumed that it was duly stamped |
| A. | true |
| B. | false |
| C. | not inchoate |
| D. | inchoate |
| Answer» A. true | |
| 11. |
Which one of the following element is not necessary for a contract ? |
| A. | Competent parties |
| B. | Reasonable terms and conditions. |
| C. | Free consent |
| D. | Lawful concentration |
| Answer» B. Reasonable terms and conditions. | |
| 12. |
An agreement becomes a contract if : |
| A. | It is by free consent of the parties. |
| B. | Parties are competent. |
| C. | It is enforceable by law. |
| D. | None of the above . |
| Answer» C. It is enforceable by law. | |
| 13. |
In a standardized contract : |
| A. | The individual has no choice but to accept and sign on |
| B. | The individual must be protected in contract. |
| C. | The agreement is without consideration. |
| D. | None of the above. |
| Answer» A. The individual has no choice but to accept and sign on | |
| 14. |
The correct sequence in the formation of a contract is : |
| A. | Offer, acceptance, agreement, consideration. |
| B. | Agreement, consideration, offer,acceptance. |
| C. | Offer , Consideration, acceptance, agreement. |
| D. | Offer,acceptance, consideration, agreement. |
| Answer» D. Offer,acceptance, consideration, agreement. | |
| 15. |
A sells, by auction to B a horse which A knows to be unsound. A says nothing to B about the horse unsoundness. A does : |
| A. | Fraud |
| B. | Misrepresentation |
| C. | No fraud |
| D. | Undue Influence |
| Answer» C. No fraud | |
| 16. |
A petient in a lunatic Asylum who is at intervals of sound mind : |
| A. | May not contract. |
| B. | May contract. |
| C. | May contact during those intervals when he is of sound mind. |
| D. | May contract only after he becomes completely of sound mind . |
| Answer» C. May contact during those intervals when he is of sound mind. | |
| 17. |
Which is not the correct statement ? |
| A. | If consent is the result of coercion, the agreement is |
| B. | If a party is minor, the agreement is void . |
| C. | If the object of an agreement is unlawful, the agreement is void. |
| D. | If the consideration of an agreement is unlawful, the agreement |
| Answer» A. If consent is the result of coercion, the agreement is | |
| 18. |
What is the purpose behind the enactment of Sale of Goods Act, 1930? |
| A. | To define the laws relating to the sale of goods |
| B. | To consolidate and amend the laws relating to the sale of goods |
| C. | To consolidate, amend and define the laws relating to the sale of goods |
| D. | To define and amend the laws relating to the sale of goods |
| Answer» D. To define and amend the laws relating to the sale of goods | |
| 19. |
Section 2(1) of Sale of Goods Act defines ‘buyer’ as: |
| A. | Person who buys goods and services |
| B. | Person who agrees to buy goods |
| C. | Person who buys or agrees to buy goods |
| D. | Person who buys or agrees to buy goods and services |
| Answer» C. Person who buys or agrees to buy goods | |
| 20. |
Before the enactment of Sale of Goods Act, the provisions regarding Sale of |
| A. | Indian Contract Act, 1872 |
| B. | Indian Registration Act, 1908 |
| C. | Transfer of Property Act, 1882 |
| D. | Indian Partnership Act, 1932 |
| Answer» A. Indian Contract Act, 1872 | |
| 21. |
Which of the following cannot be said to be included in the term “goods” defined under section 2(7) of the Sale of Goods |
| A. | Stock |
| B. | Shares |
| C. | Growing crops |
| D. | Actionable claims |
| Answer» D. Actionable claims | |
| 22. |
The voluntary transfer of possession from one person to another is called |
| A. | Transfer |
| B. | change of possession |
| C. | Delivery |
| D. | None of above |
| Answer» C. Delivery | |
| 23. |
Which of the following is not the right of an unpaid seller under Sale of Goods Act, 1930: |
| A. | Right of lien on goods for the price while the goods are in possession of seller. |
| B. | Right of stopping the goods in transit, in case of insolvency of buyer |
| C. | Right of resale as limited by the Act |
| D. | Right of withholding delivery where the property in the goods has passed to the buyer |
| Answer» D. Right of withholding delivery where the property in the goods has passed to the buyer | |
| 24. |
Future goods means goods to be manufactured or produced or acquired by the seller |
| A. | In future prescribed time |
| B. | after making of contract |
| C. | before making of contract |
| D. | none of the above |
| Answer» B. after making of contract | |
| 25. |
Bearer cheques are also known as------ cheques. |
| A. | Crossed |
| B. | General |
| C. | Special |
| D. | Open |
| Answer» D. Open | |