Business Law (MCQs) Set-2
Categories: Education
Q.1. Which of the following elements does not affect the free consent of the parties.
- Coercion
- Fraud
- Incompetency
- Undue influence
Answer: (C) Incompetency
Q.2. Which of the following acts does not fall under the categories of fraud?
- Intentional false statement of facts
- Active concealment of facts
- Innocent false statements
- Promise made without intention to perform
Answer: (C) Innocent false statements
Q.3. A contract made by mistake about Indian Law, is;
- Void
- Valid
- Voidable
- Illegal
Answer: (B) Valid
Q.4. An agreement in restraint of marriage is valid incase of the following persons
- Minors
- Educated
- Married
- None of these
Answer: (A) Minors
Q.5. Where an agreement consists of two parts once legal and the other illegal and the legal part is separable from the illegal one, such legal part is
- Void
- Valid
- Voidable
- Illegal
Answer: (B) Valid
Q.6. Sometimes, a person finds certain goods belonging to some persons. In such case, the finder
- Becomes the owner of the goods and can use them
- Is under a duty to trace the true owner and return the goods
- Can sell the perishable goods if true owner cannot be found
- Both (b) and (c)
Answer: (D) Both (b) and (c)
Q.7. When after the formation of a valid contract, an event happens which makes the performance of contract impossible then the contract becomes
- Void
- Voidable
- Valid
- Illegal
Answer: (A) Void
Q.8. What is legal terminology for the doing or not doing of something which the promisor desires to be done or not done?
- Desires
- Wishes
- Considerations
- Promise
Answer: (C) Considerations
Q.9. An agreement enforceable by Law is a
- Promise
- Contract
- Obligation
- Lawful promise
Answer: (B) Contract
Q.10. Which of the following statement is true?
- Consideration must result in a benefit to both parties
- Past consideration is no consideration in India
- Consideration must be adequate
- Consideration must be something which a promisor is not already bound to do
Answer: (D) Consideration must be something which a promisor is not already bound to do