Business Law - 4

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Question
Consideration can not be a past consideration.
Correct Answer
False
Question
The following types of companies are required to have their own articles
Correct Answer
Unlimited companies , Companies limited by guarantee , Private companies limited by shares
Question
When the person to whom the proposal is made signifies his assent thereto, the proposal is said to be ________.
Correct Answer
accepted
Question
An agreement to sell takes place in the case of existing goods or specific goods.
Correct Answer
False
Question
Specific goods are those which are identified and agreed upon at the time of a contract of sale is made.
Correct Answer
True
Question
As per S.2(1) (f) of the Consumer Protection Act, defect means any ________ in the quality of goods
Correct Answer
shortcoming
Question
The membership of the association of company shall cease on the dissolution of the firm.
Correct Answer
True
Question
There can not be any partnership where a business is carried on
Correct Answer
With a benevolent purpose , Where any one of the patterns is entitled to total profit earned.
Question
Selection committee for the appointment of the District Forum consists of
Correct Answer
President of the State Commission , Secretary of the Law Dept. of the state
Question
There are two types or kinds of capital of a company, i.e. owned capital and borrowed capital.
Correct Answer
True
Question
The directors of a company have to file their consent with the ________ to act as director.
Correct Answer
registrar
Question
Unpaid seller's right to stop the goods in transit arises only when the buyer is ________
Correct Answer
Bankrupt
Question
A ________ is an artificial person and has a legal entity.
Correct Answer
Company
Question
The companies having Articles are
Correct Answer
Unlimited Company , Company limited by guarantee , Company limited by shares
Question
Issued capital can be defined as the ________ of shares which are offered to the public for subscription.
Correct Answer
nominal value
Question
Partnership is based on ________
Correct Answer
faith
Question
The ingredients of the proposal are
Correct Answer
communication by one to another , to do or to abstain from doing something , the object should be to take assent of another
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
Question
An agent was instructed by his principal to insure the goods, but he neglected to insure the goods. As a result, the principal had to suffer the loss. Who is responsible for the loss ?
Correct Answer
agent
Question
A Consumer has the following rights
Correct Answer
To get the education of the availability of legal remedies , Seek redressal against unfair trade practices , To be informed about quality, quantity, potency, purity, standard and price of goods
Question
Following persons can not be called partners
Correct Answer
minors , insolvents , co-owners without the agreement to carry on the business
Question
There can not be any partnership where a business is carried on
Correct Answer
with a benevolent purpose , where any one of the partners is entitled to total profit earned
Question
In the right of lien, the possession is retained by
Correct Answer
Unpaid seller
Question
The Indian Contract Act, 1872, does not cover all those duties which are not ________ in nature.
Correct Answer
contractual
Question
An unregistered firm can institute a suit against
Correct Answer
wrongful use of the trade mark , wrongful use of the firm name
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
Question
During the continuance of the firm, a transfer by a partner of his interest is the first restricts the transferee to
Correct Answer
inspect the books of the firm , require accounts , interfere in the conduct of a business of a firm
Question
There are certain limitations to the principle of ratification which are
Correct Answer
where the principal does not have full knowledge at the fact , where the act to be ratified is illegal or void , where the ratification is not done within a reasonable time
Question
In an appeal to the National Commission the appellant shall submit
Correct Answer
Six copies of memorandum
Question
the vacancies arising from designation of the members of the Central Council shall be filled from the same category by the
Correct Answer
Central Government
Question
Where the partners agree to carry on the business for a definite period of time, the partnership is said to be
Correct Answer
for a fixed period
Question
In contract of sale the buyer becomes
Correct Answer
Absolute owner of the property
Question
In contract of sale
Correct Answer
ownership in the property is passed from the seller to the buyer.
Question
A Promissory Note contains conditional undertaking to pay a certain sum of money.
Correct Answer
False
Multiple Choice Single Answer
Question
A public company doesn't have its own articles of association, it may adopt
Correct Answer
Table A as given in schedule-1
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
Question
Correct Answer
Your Answer
Minor Partner
Admitted for profits only
Admitted for profits only
Dissolution of a Partnership
Death or Insanity of the partners
Death or Insanity of the partners
Firm
Partners
Partners
Partner
Agents of the firm
Agents of the firm
Partnership
Can be formed at Will
Can be formed at Will
Question
The corporate veil under the Companies Act may be lifted in the following instances
Correct Answer
To investigate the real ownership of shares , To investigate the names and members of the company , To investigate whether the company is sham
Question
A club or a society is an ________ of persons
Correct Answer
association
Question
A partner is called as an outgoing partner by
Correct Answer
retirement , death , expulsion
Question
Correct Answer
Your Answer
Any person who for the consideration becomes the possessor of a promissory note
Holder in due course
Holder in due course
Negotiating Negotiable Instruments so as to bind all, except himself
A minor
A minor
A partner accepting Negotiable Instrument
Implied authority
Implied authority
A person who can't accept or indorse a bill
An insolvent
An insolvent
Question
Services rendered by the Post and Telephone Department are covered by the Consumer Protection Act, 1986
Correct Answer
True
Question
The meaning of the term “Caveat Emptor” is
Correct Answer
let the buyer beware
Question
A company can sue and also be sued by
Correct Answer
In its corporate name
Question
When the property in goods is transferred from the seller to the buyer at once, the contract is called
Correct Answer
A Sale
Question
If any ________ is present while forming the agency then the relationship of agency becomes contractual.
Correct Answer
consideration

Question
"I promise to pay Mr.John Rs.500/- seven days after my marriage with Miss Lucy" is a promissory note.
Correct Answer
False