LIST OF ATTEMPTED QUESTIONS AND ANSWERS

True/False
Question Agreement is defined as a contract at its inception.
Correct Answer True
Your Answer True

Select The Blank

Question ________ is the ________ method of voting with the rule "one
share one vote "
Correct Answer poll
Your Answer poll
Correct Answer capitalistic
Your Answer individualised

Multiple Choice Single Answer

Question Agency can be created by
Correct Answer Operation of law
Your Answer Operation of law

Multiple Choice Single Answer

Question Where the property in goods sold has been passed, the unpaid
seller has the
Correct Answer right to stop goods in transit
Your Answer right to stop goods in transit

True/False
Question A minor may draw, endorse, deliver and negotiate a negotiable
instrument to bind other parties except himself
Correct Answer True
Your Answer True

Multiple Choice Single Answer

Question Dissolution by the order of the Court at the suit of a partner on
certain grounds, which include
Correct Answer Willful or persistent breach of agreement by a partner
Your Answer Willful or persistent breach of agreement by a partner

Select The Blank

Question The agency can be ________ At any time by ________
agreement between the principal and his agent.
Correct Answer terminated
Your Answer individual
Correct Answer mutual
Your Answer mutual

Multiple Choice Multiple Answer

Question The requirement of valid Memorandum of Association are that it
Correct Answer is to be signed by at least seven persons in case of public
company , is to be signed by at least two persons in case of private company
Your Answer is to be signed by at least seven persons in case of public
company , is to be signed by at least two persons in case of private company

Match The Following

Question Correct Answer Your Answer

An Outsider or a stranger who holds himself out or represents himself to be a

partner of the partnership firm and induces outsider to give credit to the firm
partner by estoppel partner by estoppel

A person who becomes a partner by entering into partnership agreement & is

actual engaged in the conduct and management of the partnership business
Ostensible partner Ostensible partner

A person who only lends his name to the partnership firm but does not invest any
capital in the firm nor does take any interest in the affairs of the firm
Nominal Partner Nominal Partner

When partners agree to share the profits of the partnership firm with any outsider,
such An outsider is known as Sub-Partner
Sub-Partner

A partner whose existence in the firm is kept secret from the outside world
Dormant Partner Dormant Partner

Multiple Choice Multiple Answer

Question Following are the conditions needed to prove an act of a partner
is an act of a partnership firm
Correct Answer such a act be done in a ordinary course 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 such a act be done in a ordinary course 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 A consumer is
Correct Answer Nominee under a policy of life insurance , A Railway passenger ,
An employee who is member of Employees Provident Fund Scheme
Your Answer Nominee under a policy of life insurance , A Railway passenger ,
An employee who is member of Employees Provident Fund Scheme

Multiple Choice Multiple Answer

Question Following are the elements which constitute a partnership
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 , there must be
an association of two or more persons

Select The Blank

Question A meeting is ________ of a number of persons for ________ a
lawful business having certain purpose or purposes
Correct Answer an assembly
Your Answer an assembly
Correct Answer transacting
Your Answer transacting

Multiple Choice Multiple Answer

Question Following are the conditions to be fulfilled before a seller can be
deemed to be an unpaid seller
Correct Answer he must have an immediate right of action for the price , he must
have sold goods against cash and the price must be due
Your Answer he must have an immediate right of action for the price , he must
have refused payment when tendered , he must have sold goods against cash and
the price must be due
Multiple Choice Multiple Answer
Question Following are the examples of statutory companies
Correct Answer Reserve Bank Of India , Unit Trust Of India
Your Answer Reserve Bank Of India , Unit Trust Of India

Multiple Choice Multiple Answer

Question Following persons can not be called partners
Correct Answer minors , insolvents , co-owners without the agreement to carry
on the business
Your Answer minors , co-owners without the agreement to carry on the
business

Match The Following

Question Correct Answer Your Answer

Sale Exchange of goods for price

Exchange of goods for price

Barter Exchange Exchange of goods for goods

Exchange of goods for goods

Sale of Goods Act, 1930 Movable goods Movable goods

Caveat Emptor Let the buyer beware Let the buyer beware

Quiet possession Implied Warranty Implied Warranty

Multiple Choice Single Answer

Question A consumer has right to be assured, wherever possible, access
to services at
Correct Answer competitive prices
Your Answer competitive prices

Multiple Choice Multiple Answer

Question Following are the characteristics of 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

True/False
Question A commission agent is generally appointed for selling and buying
goods on behalf of his principal
Correct Answer True
Your Answer True

Multiple Choice Multiple Answer

Question Transmission of shares takes place due to
Correct Answer death of a member , insolvency of a member , lunacy of a
member
Your Answer death of a member , lunacy of a member , minority of a member

Multiple Choice Multiple Answer

Question In the absence of usage or custom of trade to the contrary, the
implied authority of a partner does not empower him to
Correct Answer acquire movable property on behalf of the firm , transfer movable
property belonging to the firm
 Your Answer acquire movable property on behalf of the firm , admit any
liability in a suit or proceedings against the firm , transfer movable property
belonging to the firm

Multiple Choice Multiple Answer

Question Following are the persons who cannot enter into partnership firm
Correct Answer A Burmese Buddhist husband and wife carrying on business ,
the members of Hindu Undivided Family carrying on Family business
Your Answer A Burmese Buddhist husband and wife carrying on business ,
the members of Hindu Undivided Family carrying on Family business

Multiple Choice Multiple Answer

Question The maker, acceptor or endorser respectively of a negotiable
instrument is discharged from liability thereon by
Correct Answer release , payment , non cancellation
Your Answer non-acceptance , release , payment

Multiple Choice Single Answer

Question The National Commission shall decide the complaint as far as
possible within a period of
Correct Answer three months from the date of notice received by the opposite
party
Your Answer three months from the date of notice received by the opposite
party

Select The Blank

Question When the ________ of a bill is ‘for collection only’ the endorsee
cannot be a ________
Correct Answer Endorsement
Your Answer Endorsement
Correct Answer holder
Your Answer holder

Select The Blank

Question Un-called capital is the part of ________ and ________ capital
which has not been called up.
Correct Answer issued
Your Answer issued
Correct Answer subscribed
Your Answer subscribed

True/False
Question Special Notice and Special Resolution mean one and the same.
Correct Answer False
Your Answer True

Select The Blank

Question ________ Trade Practice is a trade practice which for the
purpose of promoting a sale, use or supply of any goods or for the provision of any
service adopts any ________ practice.
Correct Answer unfair
Your Answer unfair
Correct Answer deceptive
Your Answer deceptive

True/False
Question Consumer is a person who procures service under a contract of
personal service
 Correct Answer False
Your Answer True

Multiple Choice Multiple Answer

Question Property of the company is the property of
Correct Answer Promoters before the existence of the company , the company
itself after its incorporation
Your Answer its share-holders , Board of Directors , Promoters before the
existence of the company

True/False
Question English Law does not recognize Formal Contract
Correct Answer False
Your Answer False

Select The Blank

Question Reserved capital is the part of ________ capital which can only
be called up at the time of & for the purpose of ________ the company
Correct Answer uncalled
Your Answer uncalled
Correct Answer winding up
Your Answer winding up

True/False
Question The partners need not sign the partnership deed.
Correct Answer False
Your Answer False

Select The Blank

Question When the person to whom the proposal is made ________ his
assent thereto, the proposal is said to be ________
Correct Answer Signifies
Your Answer Accepted
Correct Answer Accepted
Your Answer Declared

Multiple Choice Multiple Answer

Question Goods includes
Correct Answer trade marks , good will
Your Answer actionable claims , money

Multiple Choice Multiple Answer

Question Characteristics Articles of Association are
Correct Answer it contains rule for the internal management of the affairs of the
company , it is subordinate to the Memorandum of Association
Your Answer contains objectives for which the company is established , it
contains rule for the internal management of the affairs of the company , it is
subordinate to the Memorandum of Association

Select The Blank

Question ________ implies committing or threatening to commit any act
________ by the Indian Penal Code.
Correct Answer Coercion
Your Answer Coercion
Correct Answer forbidden
Your Answer forbidden
Select The Blank
Question ________ is an invitation made to the ________
Correct Answer Prospectus
Your Answer Prospectus
Correct Answer public
Your Answer public

Multiple Choice Single Answer

Question A factor is a type of
Correct Answer Mercantile Agent
Your Answer Mercantile Agent

True/False
Question Agents acting jointly and severally are known as co-agents
Correct Answer True
Your Answer True

Multiple Choice Single Answer

Question Enforcement of contingent contract depends on
Correct Answer Happening or Non-happening of the event
Your Answer Happening of the event

Multiple Choice Single Answer

Question In a sale, if the buyer becomes insolvent before he pays the
price of the goods purchased, the person who can claim the delivery of the goods
as the property in goods has been already transferred as a
Correct Answer official assignee or receiver
Your Answer official assignee or receiver

Select The Blank

Question When the ________ of contract becomes ________ , such
contract need not be performed
Correct Answer performance
Your Answer cancellation
Correct Answer impossible
Your Answer possible

True/False
Question A Cheque can be bearer, Order or crossed
Correct Answer True
Your Answer True

Multiple Choice Single Answer

Question Following is an implied condition.
Correct Answer Condition as to sale by sample
Your Answer Condition as to sale by sample

Multiple Choice Single Answer

Question Dissolution by voluntary act of the partners, which includes
Correct Answer dissolution by agreement
Your Answer dissolution by agreement