Business Laws and Special Contracts Set 5

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This set of Business Regulations Multiple Choice Questions & Answers (MCQs) focuses on Business Laws and Special Contracts Set 5

Q1 | An auction sale is complete on the
  • fall of hammer
  • delivery of goods
  • payment of price
  • both (b) and (c)
Q2 | An unlawful act by which an intending purchaser is prevented from bidding or raising theprice at an auction sale is known as
  • decoy ducking
  • puffering
  • damping
  • none of these
Q3 | The right of lien is exercised
  • to retain possession of goods
  • to regain possession of goods
  • to resell the goods
  • none of these
Q4 | Which of the following rights are available to the unpaid seller against the buyer
  • suit for price
  • suit for interest
  • suit for repudiation
  • all of these
Q5 | Delivery of the key of the warehouse by the seller to the buyer will amount to
  • actual delivery
  • symbolic delivery
  • constructive delivery
  • none of these
Q6 | In case the buyer rejects the whole quantity of goods due to short delivery or excessdelivery, the contract is treated as
  • subsisting
  • cancelled
  • void
  • invalid
Q7 | The Sale of Goods Act, 1930 came into force on
  • 1st day of july 1930
  • 1st day of january 1930
  • 1st day of august 1930
  • 1st day of september 1930
Q8 | Which law governs the sale of movable property in India?
  • transfer of property act, 1872
  • sale of goods act, 1930
  • indian contract act, 1872
  • all of the above
Q9 | A contract of sale may be
  • oral
  • written
  • always expressed
  • either (a) & (b)
Q10 | ‘Delivery’ within the meaning of the Sale of Goods Act can be
  • symbolic
  • actual
  • actual
  • either (a) or (b) or (c)
Q11 | The term ‘possession of goods’ means
  • ownership of goods
  • custody of goods
  • both (a) & (b)
  • none of these
Q12 | The term ‘Goods’ in the Sale of Goods Act means
  • subject matter of the contract of sale
  • specific goods only
  • ascertained goods only
  • unascertained goods only
Q13 | The goods which are to be produced by the seller after the contract of sale is made areknown as
  • contingent goods
  • unascertained goods
  • future goods
  • none of the above
Q14 | Where money is exchanged by one person for some money with another person, thetransaction is known as
  • barter
  • exchange
  • money sale
  • none of the above
Q15 | A Sale of Goods under the Sale of Goods Act, 1930 includes
  • a jus in personam
  • a jus in rem
  • both (a) & (b)
  • neither (a) & (b)
Q16 | Where no price is fixed by express agreement, the buyer shall pay the seller
  • lowest price
  • reasonable price
  • suitable price
  • adhoc price
Q17 | A stipulation in a contract may be
  • condition
  • warranty
  • neither (a) & (b)
  • both (a) & (b)
Q18 | A ‘Condition’ under the Sale of Goods Act has been defined as a stipulation
  • collateral to the main purpose of the contract
  • main purpose of contract
  • essential to the main purpose of the contract
  • all of the above
Q19 | Which of the following is correct?
  • a condition is a stipulation, not essential to the main purpose of the contract.
  • a warranty is a stipulation, collateral to the main purpose of the contract.
  • breach of a warranty, gives rise to a right to treat the contract as repudiat
Q20 | When the buyer’s right of quiet possession of goods is affected by the seller’s fault, thebuyer can
  • reject the goods
  • claim for damages
  • repudiate the contract
  • all of the above
Q21 | The buyer shall have and enjoy quiet possession of goods. This is an __________
  • implied warranty as to title
  • implied condition as to title
  • implied warranty as to possession
  • implied condition as to possession
Q22 | The general rule is that the buyer of goods is responsible for his choice or selection. Thisdoctrine is
  • ignorantia juris non excusat
  • quid pro quo
  • nemo dat quad non habet
  • caveat emptor
Q23 | The process of identifying the goods and setting apart is called
  • identification
  • procurement
  • ascertainment
  • allocation
Q24 | ‘Nemo Dat Quod Non Habet’ means
  • no man can pass a better title than what he himself possesses.
  • let the buyer beware.
  • void from the beginning.
  • ignorance of law is no excuse.
Q25 | According to the Sale of Goods Act ‘fault’ means
  • refusal to pay price
  • refusal to deliver goods
  • any wrongful act or default
  • any fraud