Business Law MCQS With Answers 41 to 50 - Ask By People

 

Business Law

41. Compromise of dispute claims

1. is a good consideration for a contract
2. is not a good consideration for a contract
3. results in a void agreement
4. is not permitted by law.

Correct answer: (A)
is a good consideration for a contract

42. Contracts made before war with an alien enemy which are against public policy are

1. suspended and are revived after the war is over.
2. dissolved
3. not affected at all
4. void ab initio

Correct answer: (B)
dissolved

43. When a person positively asserts that a fact is true when his information does not warrant it to be so, though he believes it to be true, there is

1. misrepresentation
2. fraud
3. undue influence
4. coercion.

Correct answer: (A)
misrepresentation

44. The Case of Cundy v. Lindsay (1878)deals with

1. Coercion
2. undue influence
3. mistake as to the nature of transaction
4. mistake as regards identity

Correct answer: (D)
mistake as regards identity

45. Promises forming consideration for each other are known as,

1. independent promises
2. dependent promises
3. reciprocal promises.
4. mutual promises

Correct answer: (C)
reciprocal promises.

46. A contract has become more difficult of performance due to some un-contemplated events or delays .The contract

1. is discharged
2. is not discharged
3. becomes void
4. becomes voidable.

Correct answer: (B)
is not discharged

47. The court may grant rescission where the contract is

1. voidable at the option of the plaintiff
2. void
3. unenforceable
4. illegal

Correct answer: (A)
voidable at the option of the plaintiff

48. Quantum meruit means

1. a non gratuitous promise
2. an implied promise
3. as mush as earned
4. as much as is paid.

Correct answer: (C)
as mush as earned

49. In a sale ,if the goods are destroyed , the loss falls on

1. the buyer
2. the seller
3. partly on buyer and partly on seller
4. the seller if price has not been paid
5. by the buyer.

Correct answer: (A)
the buyer

50. The omission of the creditor to sue within the period of limitation

1. discharges the surety
2. does not discharge the surety
3. makes the contract of guarantee void
4. makes thecontract of guarantee illegal.

Correct answer: (B)
does not discharge the surety