Business Law Set 1
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This set of Business Law Multiple Choice Questions & Answers (MCQs) focuses on Business Law Set 1
Q1 | An agreement enforceable by law is
- agreement
- contract
- offer
- promise
Q2 | Every promise and every set of promises, forming the consideration for each other is an
- agreement
- offer
- contract
- acceptance
Q3 | In a contract of indemnity the right of the indemnifier is similar to that of the:
- debtor
- creditor
- surety
- agent
Q4 | In a contract of indemnity, minimum no of parties are
- 4
- 3
- 2
- 1
Q5 | The sale of goods act is of:
- 1903
- 1923
- 1930
- 1932
Q6 | Seller is a person who
- sells
- buys
- debtor
- transferee
Q7 | Document of title includes
- business reports
- railway receipt
- cash memo
Q8 | A person coming forward to accept after it has been dishonoured is called:
- acceptor for honour
- acceptor for paying
- payment for honour
- holder
Q9 | Protest for better security is done for publicity stunt.
- true
- false
- attention
- fun
Q10 | When an instrument is lost, it is presumed that it was duly stamped
- true
- false
- not inchoate
- inchoate
Q11 | Which one of the following element is notnecessary for a contract ?
- Competent parties
- Reasonable terms and conditions.
- Free consent
- Lawful concentration
Q12 | An agreement becomes a contract if :
- It is by free consent of the parties.
- Parties are competent.
- It is enforceable by law.
- None of the above .
Q13 | In a standardized contract :
- The individual has no choice but to accept and sign on
- The individual must be protected in contract.
- The agreement is without consideration.
- None of the above.
Q14 | The correct sequence in the formation of a contract is :
- Offer, acceptance, agreement, consideration.
- Agreement, consideration, offer,acceptance.
- Offer , Consideration, acceptance, agreement.
- Offer,acceptance, consideration, agreement.
Q15 | 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 :
- Fraud
- Misrepresentation
- No fraud
- Undue Influence
Q16 | A petient in a lunatic Asylum who is at intervals of sound mind :
- May not contract.
- May contract.
- May contact during those intervals when he is of sound mind.
- May contract only after he becomes completely of sound mind .
Q17 | Which is not the correct statement ?
- If consent is the result of coercion, the agreement is
- If a party is minor, the agreement is void .
- If the object of an agreement is unlawful, the agreement is void.
- If the consideration of an agreement is unlawful, the agreement
Q18 | What is the purpose behind the enactment of Sale of Goods Act, 1930?
- To define the laws relating to the sale of goods
- To consolidate and amend the laws relating to the sale of goods
- To consolidate, amend and define the laws relating to the sale of goods
- To define and amend the laws relating to the sale of goods
Q19 | Section 2(1) of Sale of Goods Act defines ‘buyer’ as:
- Person who buys goods and services
- Person who agrees to buy goods
- Person who buys or agrees to buy goods
- Person who buys or agrees to buy goods and services
Q20 | Before the enactment of Sale of Goods Act, the provisions regarding Sale of
- Indian Contract Act, 1872
- Indian Registration Act, 1908
- Transfer of Property Act, 1882
- Indian Partnership Act, 1932
Q21 | Which of the following cannot be said to be included in the term “goods” defined under section 2(7) of the Sale of Goods
- Stock
- Shares
- Growing crops
- Actionable claims
Q22 | The voluntary transfer of possession from one person to another is called
- Transfer
- change of possession
- Delivery
- None of above
Q23 | Which of the following is not the right of an unpaid seller under Sale of Goods Act, 1930:
- Right of lien on goods for the price while the goods are in possession of seller.
- Right of stopping the goods in transit, in case of insolvency of buyer
- Right of resale as limited by the Act
- Right of withholding delivery where the property in the goods has passed to the buyer
Q24 | Future goods means goods to be manufactured or produced or acquired by the seller
- In future prescribed time
- after making of contract
- before making of contract
- none of the above
Q25 | Bearer cheques are also known as------ cheques.
- Crossed
- General
- Special
- Open