Business Law MCQs With Answers | Business Law MCQs With Answers PDF | askbypeople

 

Business Law MCQs With Answers

201. Where the consent of a party is obtained by misrepresentation, the contract is;

1. Valid
2. Void
3. Voidable
4. Illegal

Correct answer: (C)
Voidable

202. A agrees to pay Rs.5 lakhs to B procures an employment for A in Income Tax Department. This agreement is

1. Void
2. Valid
3. Voidable
4. Contingent

Correct answer: (A)
Valid

203. An agreement to do an illegal act(eg: sharing the earnings of smuggling business) is

1. Valid
2. Void
3. Voidable
4. Contingent

Correct answer: (B)
Void

204. LA, B and C jointly promised to pay Rs.60000 to D. A was compelled by D to pay the entire amount of Rs.60000. Here

1. A can file a suit against D for recovery of the amount exceeding his share
2. A is entitled to recover Rs.20000 each from B and C
3. On payment by A, the contract is discharged and B and C are also not liable to A.
4. D is not justified here and is liable to refund the entire amount to A

Correct answer: (B)
A is entitled to recover Rs.20000 each from B and C

205. Can a person who is usually of unsound, but occasionally of sound mind, make a contract?

1. Yes, he can always make a contract
2. Yes, but only when he is sound mind
3. No, he cannot make contract
4. Can't be determined

Correct answer: (B)
Yes, but only when he is sound mind

206. Which is the following is false? An acceptance:

1. Must be communicated
2. Must be absolute and unconditional
3. Must accepted by a person having authority to accept
4. May be presumed from silence of offeree

Correct answer: (D)
May be presumed from silence of offeree

207. Which is the following is false? Consideration:

1. Must move at the desire of the promisor
2. May move from any person
3. Must be illusory
4. Must be some value

Correct answer: (C)
Must be illusory

208. Consideration may be

1. Past
2. Present
3. Future
4. All of the above

Correct answer: (D)
All of the above

209. Consent is not said to be free when it is caused by

1. Coercion
2. Undue influence
3. Fraud
4. All of these

Correct answer: (D)
All of these

210. In case of illegal agreements, the collateral agreements are;

1. Void
2. Valid
3. Voidable
4. Any of these

Correct answer: (B)
Valid

Business Law MCQs With Answers

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