Business Law MCQ Online Assignment

Business Law MCQ Online Assignment for your amity mba bba courses, ignou mba, imt cdl, smu and upes management program. This is important online mcq question answer for various distance learning program.

Q1: Annual – general Meeting is required to be held

Answer

Answer: By a public company only

Q2: An acceptance is complete and effective only when it has been

Answer

Answer: Communicated to the offerer

Q3: Name of a company can be changed by passing a special resolution and with the approval of
The company law tribunal
The Central Government
The Registrar of Companies

Answer

Answer: The Central Government

Q4: A contract becomes voidable if it has been caused by
Coercion
Fraud
Undue Influence

Answer

Answer: All these

Q5: If the goods have perished, the contract of sale of such specific goods, will become

Answer

Answer: voidable

Q6: Articles can be altered by

Answer

Answer: Special Resolution

Q7: A contract entered into between the parties by words is called

Answer

Answer: An implied contract

Q8: A prospectus is issued

Answer

Answer: By a Public Limited Company

Q9: When, before the contract becomes due for performance, the promisor declares his intention of not performing his promise, it is called

Answer

Answer: Anticipatory breach

Q10: A bailment cannot be made about

Answer

Answer: Money

Q11: The damages which arise in the usual course of things happening from the breach of contract, are called

Answer

Answer: Ordinary damages

Q12: When a person is employed to represent another in dealings with third person, it is a contract of

Answer

Answer: Agency

Q13: Which of the following is not an essential element of a contract of sale

Answer

Answer: Railway receipts

Q14: Which of the following does not relate to ‘termination of agency by operation of law’

Answer

Answer: Destruction of subject-matter

Q15: Limited liability means liability of its

Answer

Answer: Members is limited

Q16: In a contract of sale, property means

Answer

Answer: Ownership

Q17: The goods which are yet to be acquired by the seller, are called

Answer

Answer: Future goods

Q18: Acceptance of an offer is complete as against the offeror as soon as

Answer

Answer: The letter of acceptance is posted

Q19: If a company fails to pay its debts suit can be filed against the

Answer

Answer: Company

Q20: A contract with a minor is

Answer

Answer: Void

Q21: Who is liable for the supply of necessaries to a minor

Answer

Answer: His guardian

Q22: In return for a new television, Raju agrees to give his old television valued at Rs. 3,000 and an amount of cash worth Rs. 5,000 to Ganesh. This is a

Answer

Answer: Exchange

Q23: Which of the following rights is held by an unpaid seller
Right of lien
Right of stoppage in transit
Right of resale

Answer

Answer: All these

Q24: Which of the following is not a remedy for breach of contract

Answer

Answer: Alteration of the contract

Q25: A contract by which one party promises to save the other from loss is called

Answer

Answer: Contract of indemnity

Q26: Surety’s liability is

Answer

Answer: Absolute

Q27: Crossed cheques payable to bearer are negotiated by

Answer

Answer: Endorsement and delivery

Q28: In a contract of sale, which of the following is treated as implied condition 
That the seller has title to goods
That goods are similar to description
That goods are according to sample shown

Answer

Answer: All of the above

Q29: Consideration must move at the desire of

Answer

Answer: The promisor

Q30: Which of the following sentence is a valid promissory note

Answer

Answer: I promise to pay Mohan or order Rs. 1,000.

Q31: A stipulation collateral to the main purpose of the contract, is called a 
Condition
Warranty
Guarantee

Answer

None of the above

Q32: A person who receives a negotiable instrument for consideration, before maturity, and in good faith, is called

Answer

Answer: Holder in due course

Q33: A director must vacate his office if he fails to obtain qualification shares within

Answer

Answer: One month

Q34: A private company has at least

Answer

Answer: 2 Members

Q35: A cheque payable to order may be negotiated

Answer

Answer: By endorsement

Q36: Which of the following endorsements is invalid

Answer

Answer: Partial endorsement

Q37: When a cheque bears across its face an addition of the words “&” between two parallel transverse lines, it is called

Answer

Answer: General crossing

Q38: Which of the following rights are available to a finder of goods

Answer

Answer: Right of sale of goods

Q39: The best, simple definition of a contract is 
An objective meeting of minds
A negotiated two-party agreement upon which each party will act or refrain from acting
A document reflecting a meeting of the minds? between two or more competent parties.

Answer

none of above answer is correct–correct ans should- An agreement enforceable in law made by two or more person

Q40: A bearer instrument may be negotiated by

Answer

Answer: mere delivery

Q41: The liability of members if company is limited by shares

Answer

Answer: Unpaid value of shares

Q42: A in consideration that B will employ C in collecting the rent of B”s zamindari, promises B to be responsible, to the amount of 5000 rupees for the due collection and payment by C of those rents. This is a

Answer

Answer: Continuing guarantee

Q43: The suggestion as a fact of that which is not true by one who does not believe it to be true and the active concealment of a fact by one having knowledge or believe of the fact is called

Answer

Answer: fraud

Q44: When one person signifies to another his willingness to do or to abstain from doing any thing with a view to obtaining the assent of that other person to such act or abstinence he is said to make a

Answer

Answer: proposal

Q45: A contract to do or not to do something if some event collateral to such contract does or does not happen is called

Answer

Answer: contingent contract

Q46: manish is forming a business which he wants to control completely. He knows nobody else with whom he wishes to work, he values his privacy, and he dislikes formality, paper work, state filing requirements, and lawyers. What type of business organization should he prefer

Answer

Answer: sole proprietorshiop

Q47: XYZ private company had reduced to a single member and continued business more than 6 months. The company’s liability will be

Answer

Answer: unlimited

Q48: In pledge bailor is called

Answer

Answer: pawner

Q49: Which of the following is not an effective way to terminatean offer

Answer

Answer: rejection

Q50: Generally rights and obligations of the company are regulated in

Answer

Answer: memorandum

Q51: A proposal may be revoked at any time

Answer

Answer: Before the communication of its acceptance

Q52: When an offer can only be accepted by the performance of the person to whom the offer is made, is characteristic of

Answer

Answer: implied contracts

Q53: If any of the companies does not increase their paid up capital by 1/5 lakhs as per new norms with in 2 years such companies are known as___

Answer

Answer: defunct

Q54: If minimum subscription is not received application money should be refunded with in____days

Answer

Answer: 10

Q55: A continuing guarantee may at any time be revoked by the surety as to future transaction by giving notice to

Answer

Answer: creditor

Q56: A principal is responsible for all the acts of his agent which is called

Answer

Answer: Vicarious liability

Q57: Promise which forms the consideration or part of the consideration for each other is called______promise

Answer

Answer: reciprocal

Q58: A subsidiary company is the one

Answer

Answer: in which the majority shares are held by another company

Q59: A intending to deceive B, falsely represents that five hundred munds of indigo are made annually at A”s factory and their by induces B to buy the factory

Answer

Answer: The contract is voidable on the part of B

Q60: A liquidator is a person

Answer

Answer: who winds up company

Q61: Mistake of fact

Answer

Answer: Makes a contract voidable

Q62: The Term “Consent” means 
free mind
Voluntary accordance with or concurrence in what is done or proposed by another
free will

Answer

Answer: all of these answer are correct

Q63: Indemnity means

Answer

Answer: Security from damage or loss
act of protection

Q64: E-commerce is the commercial transaction of services in a/an _______ format

Answer

Answer: electronic

Q65: A agreed to supply food for party to B at 1: 00 pm. However, he could hardly supply the food at 3. 00 pm

Answer

Answer: B can reject the delivery;

Q66: Caveat emptor

Answer

Answer: is seller who discloses defects in the goods being sold

Q67: An agreement which is enforceable by law at the option of one or more of the parties there to but not at the option of other or others is

Answer

Answer: voidable

Q68: An agreement enforceable by law is called

Answer

Answer: contract

Q69: The liability of members if company is limited by guarantee

Answer

Answer: Guarantee amount

Q70: The Sale of Sub standard and hazardous goods under defined conditions constitute_____trade practice

Answer

Answer: restrictive

Q71: Any guarantee obtained by means of misrepresentation made by the creditor or with his knowledge and assent concerning a material part of the transaction is

Answer

Answer: invalid

Q72: district forum under CPA 1986 has a pecuniary limt of___lakh

Answer

Answer: 5

Q73: Minimum no. of Directors in case of private company is___

Answer

Answer: 2

Q74: which one of these is a cyber crime 
stalking
hacking
virus attack

Answer

all of these are correct

Q75: A director appointed by the Board to hold the office until the conclusion of next annual general meeting is known as

Answer

Answer: additional director

Q76: A hires a carriage of B. The carriage is unsafe though B is not aware of it and A is injured

Answer

Answer: B is responsible to A for the injury

Q77: Undue influence make a contract

Answer

Answer: void

Q78: As per section 185 of the Contract Act, 1872 consideration is

Answer

Answer: Not necessary to create agency

Q79: Right to Information Act came into existence in

Answer

Answer: 2005

Q80: An agreement not enforceable by law is called

Answer

Answer: void

Q81: The term “Fraud” means

Answer

Answer: Doing any act fitted to deceive
Active concealment of fact with knowledge and belief of the fact

Q82: Age limit of Directors in case of public company is ______ years

Answer

Answer: 65

Q83: The consideration or object of an agreement is lawful unless it is

Answer

Answer: forbidden by law

Q84: With in how many days prospectus or statement in lieu of prospectus should file with ROC

Answer

Answer: 30

Q85: Carlill v Carbolic Smoke Ball Co. Ltd. deals with

Answer

Answer: Implied acceptance

Q86: An unsound person cannot become

Answer

Answer: agent and principal

Q87: Central Government permission is required in case of___conversion___

Answer

Answer: Public to private

Q88: Reciprocal Contracts means

Answer

Answer: Bilateral contracts

Q89: Company’s owners are shareholders. So the company property belongs to___only

Answer

Answer: shareholders
company
promoters

Answer

all of these correct option

Q90: Which Act was replaced with the introduction of Competition Act 2002

Answer

Answer: MRTP

Q91: The person acting employed by under the control of the original gent in the business of the agency is called

Answer

Answer: sub-agent

Q92: A person employed to do any act for another or to represent another in dealings with third person is called

Answer

Answer: agent

Q93: Jay, age 16, purchases a new sports car with his inheritance from his grandfather. Nine months later he wrecks the car, which is a total loss. What are Jay’s disaffirmance rights in most states
A) He may disaffirm.
B) He may disaffirm but must pay nine months rental value.
C) He may disaffirm but must pay the salvage value of the car.
D) He may not disaffirm.

Answer

Answer: A) He may disaffirm.

Q94: LaVall, age 18, lives in a state in which the age of adulthood is nineteen. May she legally vote in a U.S. Presidential election
A) No, since adulthood in her state is nineteen
B) Yes, since she is eighteen
C) No, since it would be an unreasonable burden to separate federal and state elections
D) Yes, since she pays federal income taxes on her wages

Answer

Answer: B) Yes, since she is eighteen

Q95: A minor may become emancipated by___
A) giving up all parental support
B) a legally sanctioned court procedure
C) giving up all parental support or by a legally sanctioned court procedure
D) only becoming married or joining the armed forces

Answer

Answer: C) giving up all parental support or by a legally sanctioned court procedure

Q96: What constitutes as necessary___
A) is the same for all minors
B) varies according to local standards
C) varies according to the age of the minor
D) varies according to the minor’s social status

Answer

Answer: D) varies according to the minor’s social status

Q97: Leo, age 16, has his wisdom teeth removed by Jane, a local dentist. Jane charges Leo USD1,200 while most dentists would have charged USD900. Leo must pay___
A) USD1,200
B) USD1,050
C) USD900
D) nothing if he disaffirms the contract

Answer

Answer: C) USD900

Q98: Margarita does not like the dinner her parents have prepared and leaves the house to purchase a USD50 steak dinner at a local restaurant. How much must Margarita’s parents pay the restaurant if Margarita refuses to pay anything
A) USD50
B) a reasonable price
C) an amount to be determined in arbitration
D) Nothing

Answer

Answer: D) Nothing

Q99: Hector, age 16, decides to get free use of a computer by purchasing it and later disaffirming the contract. Hector is using minority as___
A) a sword
B) a shield
C) both a sword and a shield
D) neither a sword or a shield

Answer

Answer: A) a sword

Q100: A minor may disaffirm a contract___
A) only while a minor
B) only after becoming and adult
C) both while a minor and after becoming an adult
D) only with the permission of a court

Answer

Answer: C) both while a minor and after becoming an adult

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