Business Law (MCQs) Set-2
Categories: Education
Q.1. The 3unlawful detention of any property of a person to obtain his consent to a contract amounts to
- misrepresentation
- fraud
- undue influence
Answer: (D) coercion.
Q.2. A person is usually of sound mind, but occasionally of sound mind
- he may enter in to a contract when he is of sound mind,
- he may not make a contract even when he is of sound mind
- he cannot enter into a contract at all.
- None of the above.
Answer: (A) he may enter in to a contract when he is of sound mind,
Q.3. An offer is made to Mani in crowd It
- can be accepted by him alone,
- may be accepted by any person who hears it.
- may be accepted by his brother
- may be accepted by his friends.
Answer: (A) can be accepted by him alone,
Q.4. A person who is not party t a contract
- cannot sue,
- can sue,
- can sue only in well recognized cases
- none of these.
Answer: (C) can sue only in well recognized cases
Q.5. The contractual capacity of a company is regulated by
- its memorandum of association and the provisions of the companies act, 1956
- the terms of contract enteredinto with a third party
- its articles of association
- its prospectus.
Answer: (A) its memorandum of association and the provisions of the companies act, 1956
Q.6. Merely because a contract was caused by one of the parties to it being under a mistake as to a matter of fact, it isnot
- voidable
- void
- affected at all
- none of the above.
Answer: (A) voidable
Q.7. A wagering agreement is.
- forbidden by law,
- immoral,
- opposed to public policy
- none of the above.
Answer: (A) forbidden by law,
Q.8. Where the debtor does not expressly intimate or where the circumstances attending on a payment do not indicateany intention, the creditor
- may apply it to any lawful debt due
- May apply it even to a time barred debt.
Answer: (A) may apply it to any lawful debt due
Q.9. A undertakes to paint a picture of B. He dies before he paints the picture. The contract
- is discharged by death
- becomes voidable
- becomes voidable at the option of the legal representatives of A.
- will have to be performed by the legal representatives of A.
Answer: (A) is discharged by death
Q.10. A quasi contract
- is a contract
- as an agreement
- creates only legal obligation
- is none of these
Answer: (C) creates only legal obligation