BUSINESS LAW

UNIT I

1. A contract based on the equitable principle that a person shall not be allowed to enrich himself
at the expense of another.
a).Both movable& Immovable Goods b). Movable goods only
c). Immovable goods only d). All goods except ornaments.

2. The term goods for the purpose of sale of goods Act does not include
a).Money b). Actionable claims
c). Immovable property d). All of these

3._______ is an agreement between two or more parties enforceable in a court of law.

a).Partnership b). Contract
c). Agent d). None.

4. _________ is a contract which is entered into, between parties via internet.

a).Modern contract b). Technical contract
c). Advance contract d). E-Commerce.

5. An offer may be communicated by ______

a).Orally b). By conduct only
c). By a written mode d). By all the above modes

6. Acceptance may be communicated by ______

a).Any person
b). A person who has the authority to accept
c). His agent
d). All the above

[Link] offer is said to be general when it is made ______

a).To a definite person b). To the public at large
c). To a group of persons d). None of the above.

[Link] offer can be communicated -------

a).At any time b). Before it can be accepted

c). After acceptance d). None of the above

9. Newspaper advertisements are not ______.

a).Offer b). Proposal
c). Contract d). None

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10. An offer may come to an end by ______
a).Lapse b). Revocation
c). Both A&B d). None

11. Ratification is tantamount to prior ______

a).Authority b). Agreement
c). Contract d). None

12. An agency coupled with interest is _________

a).Irrevocable b). Revocable
c). Acceptable d). None

[Link] a hire purchase agreement, the hirer

a).Has an option to buy the goods b). Must buy the goods
c). Must return the goods d). Is not given the possession of the goods

14.A Stipulation which is collateral to the main purpose of the contarct, and if proved false, give
the buyer only a right to claim damages is known as __________.
a).Condition b). Guarantee
c). Warranty d). None of these.

15. Which of the following is not an implied condition in a contract of sale?

a).Condition as to title b). Condition as to description
c). Condition as to freedom from encumbrance d). Condition as to sample

16.A contract which cannot be enforceable in a court of law is _______.

a).Voidable contract b). Void contract
c). Valid contract d). None

[Link] is competent to enter into a contract?

a).Minor b). Person of sound mind
c). Lunatic d). Purdanasheen women

18. When one person signifies to another his willingness to do or to abstain from doing anything,
it is known as _______
a).Proposal b). Offer
c). Agreement d). Contract

[Link] commercial & business agreements, the presumption is that the parties intended to create
____
a).Legal relations b). Performance
c). Agreement d).BothA&C.

20.A contract is based on _______

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a).Executed b). Implied
c). Agreement d). All the above

[Link] _______ are agreements, but all agreements are necessarily contracts
a).Legal relations b). Consents
c). Unconditional d). Contract

[Link] ______ contract is a contract in which both the parties have performed their respective
obligations.
a).Executed b). Implied
c). Agreement d). None

23. No valid ratification can be made by a person whose knowledge of facts of the case is
materially ___
a).Clear b). Defective
c). Confusing d). None

[Link] Indian Contract Act, 1872 is based mainly on ____________

a) Law of agency b) Indian Partnership Act
c) English Common Law d) Sale of Goods Act

25. When an agreement fulfils the conditions of __________ of the Indian Contract Act, it
becomes the contract?
a) Sec 10 b) Sec 20
c) Sec 25 d) Sec 15

26. Offer + Acceptance = ___________

a) Contract b) Agreement
c) Promise d) Proposal

27. Contract which is forbidden by Law __________.

a) Void Contract b) Valid Contract
b) Quasi Contract d) Illegal Contract

28. R tells S; “ I’m willing to sell my machines for Rs. 90000; are you ready to buy?”. This is a
______ from R to S?
a) Contract b) Acceptance
c) Offer d) Proposal

29.A wrong representation is made willfully with the intention to deceive the other party.
a) Mistake b) Misrepresentation
c) Coercion d) Fraud

30. The aggrieved party cannot claim damages in _________

a) Mistake b) Misrepresentation
c) Coercion d) Fraud

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31. Who may perform a contract?
a) Agent b) Promisor
c) 3rd Person d) All the above

32. Termination of the contractual relationship between the parties is ___________

a) Performance b) Discharge
c) Breach d) Novation

33. Modes of discharge of contract includes _______________

a) By Performance b) By Lapse of time
c) By Agreement d) All the above

[Link] two parties make identical offers to each other in ignorance of each other’s offer the
offers are known as _____
a).Cross offers b). Consent
c). Mistake d). None

[Link] an offer is accepted, there can be no revocation of _______

a).Acceptance b). Contract
c). Agreement d). None

36.A standing offer is in the nature of a _______

a).Tender b). Offer
c). Executory d). None

[Link]/death of the proposer automatically _____ the proposal

a).Continue b). Revokes
c). Appoint a person d). None

[Link] agreements are ____

a).Valid b). Void
c). Voidable d). Both A&C

39.A Minor is a person who has not completed

a).16 yrs b). 18 yrs
c). 21 yrs d). Both B&C

[Link] the consent of a person is obtained by fraud, the contract is _______.

a).Valid b). Illegal
c). Void d). None

41.A false statement of facts made without any intention to deceive the other party falls under
the category of ________
a).Fraud b). Coercion
c). Misrepresentation d). Undue Influence
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42.A minor is not personally _________
a).Liable b). Capable
c). Competent d). None

[Link] to contract means _______

a).Competency of parties to enter into a contract b). Performance
c). Minor d). None

44.A minor can be ______

a).Promise b). Beneficiary
c). Both A&B d). None

[Link] are the types of breach of contract?

a) Anticipatory breach b) Actual breach
c) Both a & b d) None of the above

[Link] phrase ‘quantum meruit’ literally means _________

a) as much as is earned b) as much as in agreement
c) as more as the remedy d) as more as breach

[Link] Indian Contract act was enacted in _____________

a) 1876 b) 1874
c) 1872 d) 1870

48. _______ arises when one party to the contract denies to perform the acts or to fulfill the
obligations.
a) Breach of Contract b) Remedy
c) Injunction d) Discharge

49. Performance of contract is encaved in the Indian Contract Act 1872 at, _________.
a) Sec 37 b) Sec 142
c) Sec 91 d) Sec 11

50.A proposal when accepted becomes a _________.

a) Contract b) Agreement
c) Promise d) Offer

51._______ is the principle in all contracts of sale of goods.

a) Buyer beware b) Consumer beware
c) Customer beware d) None of the above

52.‘Caveat Emptor’ the phrase refers __________.

a) Buyer beware b) Consumer beware
c) Customer beware d) None of the above

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[Link] or more persons said to have consented when they agree upon the same thing in the same
sense is __________.
a) Consent b) Offer
c) Breach d) Proposal

54. _________ is the value given in return for a promise.

a) Contract b) Offer
c) Consideration d) Proposal

55._________ may be lawful or unlawful.

a) Contract b) Offer
c) Agreement d) Promise

[Link] + Enforceability by law = _______________.

a) Contract b) Offer
c) Proposal d) Promise

[Link] Indian Contract Act 1872 was extended to whole of India except the state of
__________.
a) Goa b) Jammu & Kashmir
c) Bihar d) Uttar Pradesh

[Link] finder of lost goods and its true owner is the prominent example for __________.
a) Implied contract b) Executed contract
c) Express Contract d) Quasi Contract

[Link] in a contract is outstanding on the part of both the parties, it is known as _____
a) Unilateral contract b) Bilateral contract
c) Executed contract d) None of these

[Link] is not a form of offer?

a) Conditional offer b) Cross offer
b) General offer d) Counter offer

61. ‘M’ says ‘N’ that he is willing to sell his motorcycle to him for Rs. 20000. This is an/a _____
offer.
a) General b) Cross
c) Counter d) Expressed

62.A ______ agreement has no legal consequences.

a) Formal b) Simple
c) Void d) Valid

63._______ are very complex contracts.

a) Unilateral b) Bilateral
c) Multilateral d) All of these

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[Link] Contract is otherwise known as ______________.
a) Parole Contracts b) Formal Contracts
c) Both (a) & (b) d) None of these

65.________ defines contracts as “an agreement enforceable by law”.

a) Sec 2 (b) b) Sec 2 (e)
c) Sec 2 (g) d) Sec 2 (f)

[Link]’s agreements are _____________.

a) Valid b) Void
c) Voidable d) None of these

67.A contract is based on __________.

a) executed b) Implied
c) agreement d) All the above

68. __________ is an erroneous belief concerning something.

a) Fraud b) Mistake
c) Breach d) Misrepresentation

69. __________ is said to be free when it is not caused by fraud, mistake & misrepresentation.
a) Agreement b) Consent
c) void d) Valid

70. _________ means the carrying out of obligation under it.

a) Performance b) Remedy
c) Breach d) Discharge

[Link] by operation of law includes _______.

a) By death b) By insolvency
c) By unauthorized material alteration d) All the above

[Link] ads are not ___________.

a) Proposal b) Contract
c) Promise d) Offer

[Link] available to an aggrieved party are __________.

a) Suit for Damage b) Suit upon Quantum Meruit
c) Suit for Injunction d) All the above

[Link] are competent to contract?

a) A Minor b) Person of sound mind
c) Age of Majority d) Both (b) & (c)

75.___________is based on the principle laid –down in the case of cox versus Hickman.
a) Sec 2 b) Sec 22
c) Sec 6 d) Sec 66
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UNIT II

1. A minor can be an agent but cannot be ______

a).A partner b). An agent
c). Promisee d). A principal

2. ________ is the agent of the original agent.

a).General agent b). Universal agent
c). Special agent d). Sub agent.

3. _______ is an agent appointed by a seller to sell his goods by public auction for a commission.
a).auctioneer b). Subagent
c). Special agent d). General agent

4. Non mercantile agents include ______

a).Solicitors agents b). Special agents
c). Sub agent d). General agent.

5. When the agent or principal dies, the agency ________

a).Is terminated b). Appoint another
c). Continuing d). None

6. An agency may be terminated by ________

a).Act of the parties b). Operation of law
c). By mutual agreement d). All the above.

7. Document of titled goods include _______ .

a).Bill of lading b). Railway Receipt
c). Both A&B d). Balance of payment.

8. A ________ is a stipulation which is essential to the main purpose of the contract.

a).Agreement b). Claim
c). Condition d). All

9) ________ is the basic principle underlying all forms of business organization.

a) Agency b) Contract
c) Tender d) Proposal

10) ________ can bind principle to the third party.

a) Employer b) Agent
c) Offeror d) None
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11) In contract of agency _________ is not necessary.
a) agreement b) proposal
c) offer d) consideration

12) Agents who act without receiving any consideration are _________ agents.
a) Gratuitous b) general
c) special d) factor

13) An agent usually gets _____________.

a) wages b) salary
c) commission d) none

14) The person for whom an act is done by the agent is known as __________.
a) Agency b) Third party
c) agent d) Principal

15) Who cannot employ agent?

a) Age of Majority b) Sound mind
c) Both d) None

16) An agent appointed to do a particular act ___________.

a) Mercantile agent b) Universal agent
c) Special agent d) General agent

17) An agent employed for the purpose of sales and to buy goods is known as _________.
a) Mercantile agent b) Universal agent
c) Special agent d) General agent

18) ________ is who brings two persons together and arranges for an agreement between them.
a) Special agent b) Auctioneer
c) Factor d) Broker

19.______ depends on an agreement but not necessarily on contract.

a).Agency b). Agent
c). Quasi contract d). None

20._______ does his work under the contract of the agent.

a).Principal b). Partners
c). Promisor d). Sub Agent

21._______ agent is a person who has authority to do all acts connected with a particular trade or
business.
a).Special agent b). General agent
c). Sub agent d). Both A&B).

22. ________ agent occupies the position of both a guarantor & an agent.
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a).Delcredere b). General
c). Special d). Sub agent
23.________ authority is the authority of an agent as it appears to others.
a).Principal b). General
c). Apparent d). None

[Link] consideration is necessary to create ______.

a).Agreement b). Agencycontract
c). An agency d). None

[Link] by operation of law is said to arise when the law treats one person as an agent of
________
a).Another b). The principal
c). Both A&B d). None

[Link] disqualified by law do not include _____

a).Convicts b). Insolvents
c). Agents d). None

27.A minor can be a _______ a).Promisee B). Beneficiary c). Both A&B d). None

[Link] Agent is responsible for his acts to the _____

a).Agent b). Principal
c). Both A&B d). None

[Link] agent is responsible to the ___ for the acts of _______.

a).Sub agent : Principal b). Principal : sub agent
c). Third party : Sub agent d). None

[Link] agent can demand his remuneration from ____

a).Principal b). Original Agent
c). Third party d). None.

[Link] agent acts on behalf of the principal, the third parties can proceed only against _______.
a).The principal b). Agent
c). Sub Agent d). None

32.A sub agent does his work under the control of ___________.
a) Principal b) Third party
c) agent d) None

33) A substituted agent does his work under the control of __________.
a) Principal b) Third party
c) agent d) None

34) Secret profits of agent from agency is in __________.

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 a) Sec 216 b) Sec 215
c) Sec 217 d) Sec 213
35) The agent shall not use information obtained in his agency course against the _________.
a) Principal b) Third party
c) Agent d) All of these

36) The agent have the rights to _____________.

a) Retain b) Remuneration
c) Compensation d) All

37) _________ is a person who conducts an auction for the sale of goods of another person
a) agent b) Factor
c) Auctioneer d) None

38) ‘Del Credere’ – the term literally means __________.

a) Of earning b) Of entrusting
c) Of paying d) All

39) Definition of an agent is in ____________.

a) Sec 187 b) Sec 182
c) Sec 185 d) Sec 184

40) ________ is one who buys or sells goods for a distant or foreign principal in his own name?
a) Factor b) Commission agent
c) Agent d) None

41) ________ is one who sells Principal’s goods entrusted to him.

a) Factor b) Auctioneer
c) Agent d) Broker

42. ________ has no authority to create contract with Principal.

a) Factor b) Third Party
c) Agent d) Servant

43) A substituted agent is otherwise known as ____________.

a) Sub agent b) Broker
c) Co-agent d) All the above

44) Which is not a duty of Principal?

a) To indemnify the agent b) To indemnify the third party
c) On notice given to agent d) None

45) Agent may not be competent to enter into ____________.

a) Contract b) Offer
c) Promise d) Proposal

46) Meaning of Principal is encased in ____________.

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 a) Sec 183 b) Sec 182
c) Sec 181 d) Sec 180
47) __________ is not necessary in agency.
a) Contract b) Offer
c) Consideration d) Promise

48) An agent’s authority may be classified as ___________.

a) Actual b) Apparent
c) Authority in emergency d) All the above

49) Mercantile agent has been defined by __________.

a) Sec 2 (8) b) Sec 2 (7)
c) Sec 2(9) d) None

50) An agency may emerge by the application of ‘Doctrine of Estoppel’

a) Agency by necessity b) Agency by holding out
c) Agency by ratification d) Agency by Estoppel

51) _______ is an example of Special agent.

a) Lawyer b) Architect
c) Engineer d) Banker

52) According to Sec 212 the duty of an agent is to conduct the business with _________.
a) accounts b) skill
c) diligence d) both (b) & (c)

53) __________ may work for several Principals at a time.

a) Agent b) Broker
c) Servant d) All the above

54) ________ is the agent of the original agent.

a) General agent b) Universal agent
c) Special agent d) Sub- agent

55) When the agent or Principal dies, the agency _________.

a) is terminated b) appoint another
c) continuing d) none

56) An agency may be terminated by __________.

a) Act of the parties b) Operation of Law
c) Mutual agreement d) All the above

57) Sec 237 of the act deals with __________.

a) Agency by necessity b) Agency by Estoppel
c) Agency by Holding out d) All the above

58) Who has a general lien on goods?

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 a) Special agent b) Broker
c) Factor d) none
59) ‘A’ empowers ‘B’ to let A’s house. Afterwards ‘A’ lets it himself. This is an implied
_________ of B’s authority.
a) Remuneration b) Renunciation
c) Regarding d) Revocation

60) Effect of ratification is at Sec ____________.

a) 192 b) 194
c) 196 d) 198

61) Mode of ratification is at Sec __________.

a) 191 b) 193
c) 195 d) 197

UNIT III

1. Partner agrees to share his profit with Third parties that 3 rd person is known as a _______
a).Sub partner b). Partner
c). Third parties d). None

2. The act done by the partner must relate to the ____ Business of the firm.
a).Normal b). Usual
c). Both A&B d). None

3. A partner shall not carry on any _____.

a).Business b). Authority
c). Profit d). None

4. Every partner is bound to ______ the firm for any loss.

a).Protect b). Indemnify
c). Secure d). All of these.

5. A warranty is a stipulation which is ______ to the main purpose of the contract.

a).An agreement b). Relevant
c). Collateral d). None

6. An implied condition as to quality or fitness for a particular purpose may be annexed by

the _______
a).Usage of trade b). Quasi contract
c). Contractual relationship d). None.

7. In the case of _______ and ________, there is an implied condition that the goods shall
be wholesome and fit for human consumption.
a).Eatable, Provisions b). movable, Immovable
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 c). Executed, Executory d). None
8. _______ is the process by which the goods answering the description are identified and
set apart.
a).Ascertainment b). Trademark
c). Copyright d). None

9) Indian partnership enacted in ___________________.

a) 1940 b) 1942
c) 1947 d) 1932

10) The law of partnership came into force on

a)1st october1932 b)1st september1932
c)1stjune 1932 d) 1stjuly 1932

11) _______________is formed to combine the maximum of resources of skill, labour and
capital of different persons.
a) Partnership b) Association
c) Parliament d) None of these

12) According to _____________ partnership is often called is, then a group of men who have
joined capital or services for the prosecuting of some interprise.
a) Stephen b) Kimball
c) Hanoy d) Johnson

13) The person who enter into partnership are individually called _____________.
a) buyer b) seller
c) partners d) none of these

14) The term ______________is used in its widest sense and includes every trade, occupation or
profession.
a) agreement b) business
c) association d) culture

15) Partnership is the result of an_______________.

a) profit b) loss
c) mutual agency d) agreement

16) ___________ essential element of partnership is that the parties must have agreed to carry-
on-a business.
a) Fifth b) Fourth
c) Third d) Second

17) Which is the fifth element in essential elements of partnership?

a) Revolution b) Mutual Agency
c) Evolution d) All the above

18) Agreement between two or more person based on___________.

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 a) mutual trust b) confidence
c) both a and b d) none of these

[Link] must act with utmost good faith as the very basis of partnership is _______
a).Mutual trust b). Confidence
c). Both A&B d). None

20. A partner is not entitled to receive any _______

a).Remuneration b). Profit
c). Goodwill d). None

21. It is the duty of every partner to contribute to the _____ of the firm.
a).Business b). Losses
c). Credit d). None

22. A partner cannot assign his rights & interest in the firm to _______
a).An outsider b). Partner
c). Third parties d). None

23. The authority of a partner may be _______

a).Express b). Implied
c). Both A&B d). Legal authority

24. Partners may be _________

a).Actual partner b). Nominal partner
c). Partner by estoppel or holdingout d). All the above

25. Reconstitution of a firm may be of _______

a).Introduction of a new partner b). Retirement of a partner
c). death of a partner d). All of these

26. A retired partner ____ give a public notice of his retirement to persons who are ignorant of
his being a partner in the firm.
a).Need not b). Need to
c). Optional d). None

27.________ are essential for partnership.

a).Association of 20 more persons b). Aggreement
c). Business d). All the above.

[Link] object of partnership must be to make _______.

a).Profit b). Agreement

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c). Uncondition d). All the above.
[Link] is _______.
a).An agent b). Promisor
c). Promisee d). None.

30. A partnership is based on _______ .

a).Desire b). Willing
c). Relationship d). Agreement

31. Minor may be admitted to the benefits of partnership with the _______ of all the other
parties.
a).Adjustment b). Willing
c). Consent d). None

32. Partnership is merely _______ Between the partners.

a).An abstract legal relation b). An agent
c). Ownership d). All the above.

33. __________ Person cannot enter into a contract of partnership.

a).Unsound mind b). Alien enemy
c). Minor without the consent of all the other partners d). All the above.

34. Every partner has a right to prevent the introduction of a _______.

a).New partner b). Minor
c). Both A & B d).None

[Link] _____________contract the real relation is ascertained from the terms of partnership
contract.
a) express b) evolution
c) real d) none of these

36) Advantages of partnership includes_________________.

a) easy to form b) better decisions
c) sharing risks d) all the above

37) Disadvantages of partnership includes______________.

a) unlimited liability b) uncertain life
c) limited capital d) all the above

38) When a partnership is formed for a specific venture or for a particular period , the partnership
is called ______________.
a) legal partnership b) cultural partnership
c) particular partnership d) all the above

39) Duties of partners include_____________.

a) to share losses b) not to start a competing business
c) general duties d) All the above
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40) ______________provides that subject to contract between the partners.
a) Sec 12 (c) b) Sec 12 (b)
c) Sec 12 (a) d) None of these

UNIT IV

1) Sale of Goods Act was enacted in ______________.

a) 1910 b) 1920
c) 1930 d) 1940

2) ________________ are also sold and purchased).

a) Goods b) Services
c) Debt d) Loans

3) _______________does not fall in the sale of Goods Act.

a) Goods b) Services
c) both d) None

4) Sales of Goods Act were based on ______________.

a) Partnership Act b) Contract Act
c) Contract of Agency d) English sale of Goods Act

5) English sale of Goods Act was enacted in ___________.

a) 1893 b) 1894
c) 1890 d) 1891

6) Sales of Goods Act do not deals with____________.

a) sale b) mortgage
c) pledge d) none

7) Sales of Goods Act was extended except____________.

a) Tripura b) Bangalore
c) Jammu Kashmir d) None

8) The Sale of Goods Act came to force on _____________.

a) July 1 b) June 1
c) January 1 d) None

9) ___________means wrongful act or default.

a) Mistake b) Fault
c) Insolvent d) None

10) ___________means a person who buys or agrees to buy goods.

a) Merchant b) Seller
c) Vendor d) Buyer

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11) __________means the money consideration for a sale of goods.
a) Property b) Cost
c) Price d) Value

12) Seller means a person who sells or agrees to __________ goods.

a) sell b) buy
c) exchange d) all the above

13) A sale is an _____________ contract.

a) explicit b) expressed
c) executed d) none

[Link] goods means goods to be manufactured/ produced or acquired by the seller.

a).In future prescribed time b). After making of contract
c). Before making of contract d). None

[Link] sale of goods act, 1930 contains ------

a).66 Sections b). 68 Section
c).70 Section d). None

[Link] term “Goods” in the sale of goods means -------

a).Specific goods b). Ascertained goods
c). Ownership d). Subject Matter

17.A Bill of landing is _____

a).negotiable instrument like bill of exchange
b). A negotiable instrument like promissory note
c). Either A or B
d). Neither A nor B

[Link] sale of goods act 1930, applies to the whole of India except ____
a).Jammu & Kashmir b). Jharkhand
c). Orissa d). Goa Daman& Diu.

19.A contract for the sale of future goods is

a).Sale b). Agreement to sell
c). Void d). Voidable

[Link] term goods exclude ______.

a).Stock & Share b). Growing crops
c). Actionable claims d). None

21.A contract of sale may be_______.

a).Absolute only b). Condition only
c). Absolute & Conditional d). None

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[Link] sale of goods act, 1930 does not cover _______
a).Existing goods b). Immovable goods
c). Future goods d). None

[Link] sale of goods act, 1930 does not cover _____

a).Existing goods b). Immovable goods
c). Future goods d). None

24. An agreement to sell is an ____

a).Executory contract b). Executed contract
c). Contingent contract d). None

25. Which of the following is not regarding as goods under the sale of goods Act,
a).Copyright b). Trademark
c). Money d). Product

26. In the case of hire-purchase agreement, the positioning of the hire-purchaser is that of the
___
a).Agent b). Principal
c). Bailee d). Promisor

27. An _______ means a claim to any debt or any beneficial interest in a movable property not in
possession.
a).Actionable claim b). Agreement claim
c). Stipulation & Warranty d). None

28. The sale of goods Act applies to a contract of sale, and not to a contract for ______ and
________.
a).Work &Material b). Executed & Executory

c). Implied & Express d). None

[Link] is defined in ____________.

a) Sec 3(4) b) Sec 4(3)
c) Sec 3(2) d) Sec 2(3)

30) Features of contract of sale include ______________.

a) 2 parties b) Price
c) Good d) All the above

31) Property means____________.

a)Ownership b) Goods

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 c) Sales d) Service
32) Agreement to sell is a or an _____________contract.
a) expressed b) executed
c) executory d) none

33) __________ are the examples of goods.

a) Gas b) Grass
c) Water d) All the above

34) Things excluded from goods are __________.

a) money b) immovable property
c) actionable claim d) all the above

35) _____________ are the subject matter of the contract.

a) Goods b) Property
c) Buyer d) Seller

36) The goods which are not separately ascertained are__________.

a) future goods b) contingent goods
c) unascertained goods d) existing goods

37) _________ is only collateral to the main purpose of contract.

a) Condition b) Warranty
c) Guarantee d) None

38) _________ means voluntary transfer of possession of goods from one person to another.
a) Delivery b) Exchange
c) Selling d) Buying

39) Sale of goods Act was a part of___.

a) Partnership Act b) Indian contract Act
c) Contract of Agency d) None

40) ____________ means goods to be manufactured).

a) Goods b) Products
c) Future goods d) All the above

41) ______________ is a person who cannot pay his debts as they become due.
a) Insolvent b) Minor
c) Lunactic d)None

42) Quality of goods means their state and ____________.

a) value b) concepts
c) price d) condition

43) Specific goods means goods and ______________.

a) specialized b) categorized
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 c) identified d) none of these

44) Hire Purchase Act was enacted in ____________.

a) 1930 b) 1972
c) 1898 d) 1929

45) Who can sue for price?

a) Buyer b) Vendor
c) Seller d) All

46) Examples of goods are_____________.

a) stock b) shares
c) goodwill d) all the above
_____________ may be express or may be implied.
a) Offer b) Contract
c) Agreement d) All the above

47) ____________ refers to the custody over the goods.

a) Description b) Detriment
c) Possession d) Property

UNIT-V

[Link] which year IRDA was constituted?

a). 19 April, 2000 b). 19 April, 2001
c). 19 April, 2002 d).19 April, 2003

2. Headquarter of General Insurance’s Public Sector Association of India is situated?

a). Delhi b). Mumbai
c). Kolkata d). None of These

3. IRDA is associated with?

a). Railways b). Insurance Sector
c). Banking d). Tele Communication

4. Which of the following term is not used in insurance sector?

a). Indemnity b). Coverage
c). Misuse Alert d). Casualty

[Link] of the following Public Sector companies provides insurance cover to exporters?
a). ECGC b).NABARD
c). SIDBI d). IRDA

[Link] main feature of the National Agricultural Insurance Scheme is to insure which of the
following?
a). Life of the farmer b). Crop of the farmer
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 c). Animals who are used in agricultural activities d). Land of the farmer
[Link] Stands for?
a). Indian Financial Reporting Standards
b). Indian Financial Reporting System
c). International Financial Reporting Standards
d). International Financial Reporting System

[Link] the term FSDC which is used in financial sectors?

a). Financial Security and Development Council
b). Financial Stability and Development Council
c). Fiscal Security and Development Council
d). Fiscal Stability and Development Council

8. A ________ is a stipulation which is essential to the main purpose of the contract.

a). Agreement b). Claim
c). Condition d). All

[Link] insurance companies collect a fixed amount from its customers at a fixed interval of
[Link] it is called?
a). Installment b). Contribution
c). Premium d). EMI

10. Anmol Jeevan is a …..of the LIC.

a). Basic Life Insurance Plan b). Term Insurance Plan
c). Children’s Plan d). Pension Plan

[Link] case of fire & accident insurance, Insurable interest must exist ________.
a). At the time of loss only b). At inception of insurance only
c). Both at inception of insurance & at the time of loss d). No insurable interest is required.

12. Floater policy can be given under which situations. i. Where sum insured exceeds 2 crores.
[Link] goods are placed at different godowns at different locations. iii. Where goods are placed
at different godowns at different locations in the same compound. iv. Sum insured cannot be
ascertained at all locations.
a). A&B are correct b). A,B&C are correct
c). A,B,C,D are correct d). None is correct

13. Which of the following perils can be add-on cover under the fire policy at extra premium.
a). Spontaneous combustion b). Flood
c). Impact damage d). Explosion

[Link] interest must be present at the time of insurance proposal and payment of claims
in-------.
a). Fire Insurance b). Marine Insurance
c). Life Insurance d). Motor Insurance

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[Link] was the Insurance Regulatory and Development Authority constituted?
a) 1938 b) 1971
c) 1993 d) 1999

16. Which one of the following does not belong to the main products of life insurance?
a) Endowment b) Personal accident insurance
c) Term d) Whole life

[Link] marine policies, Mixed policy is a combination of ________ .

a). Voyage & Value policy b). Voyage & Floating policy
c). Unvalued & Wagering policy d). Voyage & Time policies.

[Link] Life Insurance, A nomination may be _____ before the policy matures for payment.
a). Changed b).Cancelled
c). Both A&B d). None of the above

[Link] Life Insurance, the Annity policy is useful to those who desire to provide a ________.
a). High returns b). Safe returns
c). Regular Income d). None of the above

[Link] of Life Insurance policies comprises __________

a). Endowment policy b). Whole Life policy
c). Anticipated policy d). All of these.

21. Insurance works on the principle of ______.

a) Sharing of losses b) Probabilities
c) Large numbers d) All of the above

22. ________ is also termed as group risk.

a) Fundamental risk b) Static risk
c) Property risk d) Liability risk

23. Final accounts of Life Insurance Companies include ________.

a) Revenue account b) Profit and loss account
c) Receipt and payment account d) All of these

24. A person who gains or benefits as per a contract is known as ______ .

a) Beneficiary b) Annuitant
c) Assurer d) Agent

[Link] premium means Net premium plus ________.

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 a) Profit b) Loss
c) Expense d) Expense
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26. The central office of LIC of India is located at ________.

a) Mumbai b) New Delhi
c) Bangalore d) Chennai

27. The term 'Assurance' refers to ___________.

a) Fire insurance business b) Life Insurance business

c) Motor Vehicle insurance d) Marine insurance

28. In Marine insurance, insurable interest is enough at the time of_____________.

a) Claim b) Loss
c) Maturity d) Insurance

29. The business of insurance is protection of ______.

a) Status b) Savings
c) Economic value of asset d) Profits

30. The sources of recruitment of agent________.

a) Advertisement b)Campus recruitment
c) Employment agencies d) All the above

31. _________of India offers a range of credit risk insurance covers to exporters against loss
in export of goods and services.
a) RBI b) LIC
c) ECGC d) NAIS

32. The time frame for which an insurance policy provides coverage is known as _______.
(a) Policy term (b) Policy loan
(c) Policy mode (d)Policy coverage

33. Agent should create mutual trust between _______.

a) Debtor and Creditor b) Buyer and Seller
c) Employer and Employee d) Policy holders and insurers

34. The head office of National Insurance Corporation is in ______.

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 b) New Delhi b) Mumbai
d) Kolkatta d) Chennai

35. The main job of actuary is to _______.

a) Advice insurance companies b) buy insurance products
c) Sell the insurance products d) increase profit

36. Intimation of Death is the information of death to the ________.

a) Beneficiary b) Insurer
c) Both (a) and (b) d) Agent

37. Fire Insurance can be taken in respect of ________.

a) Movable properties only b) Immovable properties only

c) Both movable and immovable properties d) Persons only

38. A person who represents another is dealing with a third person is termed as ____
a) Principal b) Employee
c) Debtor d) Agent

39. The functions of the actuary are _________.

a) Evaluation of insurance plan b) Protect policy holders
c) Duty to attend meetings d) All the above

40. The main objective of corporate agent is to ________.

(a) Sell products (b) Sell insurance products
(c) Buy raw materials (d) purchase asset

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