Legal Aspects of Business MCQ Questions and Solutions with Explanations

Section 1 Section 2 Section 3 Section 4 Section 5 Section 6 Section 7 Section 8 Section 9 Section 10 Section 11

1.
Which of the following is not regulated by the Competition Act, 2002

A. Abuse of dominant position

B. Anti-competitive agreements

C. Medical negligence

D. Predatory pricing

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2.
What happens to a continuing guarantee in case of surety's death?

A. Indemnification from the property of the surety with regard to future transactions

B. Revocation of the continuing guarantee with regard to future transactions

C. The continuing guarantee shall continue in the name of the surety's heirs

D. The continuing guarantee shall be continued by any other person

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3.
Memorandum of Association does not contain information relating to:

A. Maximum limit of capital

B. Number and tyeps of shares

C. Nominal value of shares

D. Procedure and rules of allotment of shares

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4.
What is the meaning of novation?

A. Rescinding of a contract

B. Alteration of a contract

C. Change in provisions of a contract

D. Substituting an old contract for a new one

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5.
Mr. A sold goods to Mr. B. Determine the TOS in accordance with the provisions of section 12 of the CGST Act, 2017 in case supply involves movement of goods.
1. Date of removal - 1^st October, 2019
2. Date of invoice - 2^nd October, 2019
3. Date when goods made available to the recipient - 3^rd October, 2019
4. Date of receipt of payment - 15^th November, 2019

A. 1^st October, 2019

B. 2^nd October, 2019

C. 3^rd October, 2019

D. 15^th November, 2019

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6.
The officer designated by the public authorities in all administrative units or offices under it to provide information to the citizens requesting for information under the act is known as

A. Appellate Authority

B. Chief Information Commissioner

C. Public Information Officer

D. Assistant Public Information Officer

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7.
If an owner entrusts the possession of his goods to a merchant who deals in goods of that kind, the merchant has the power to transfer all rights (including title) to the goods to a buyer in the ordinary course of business. The real owner cannot reclaim the goods from this buyer. Which type of rule is this?

A. Entrustment

B. Good faith purchaser

C. Holder in due course

D. Bona fide purchaser

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8.
Doctrine of caveat emptor does not apply, when

A. there is an usage of trade

B. goods have latent defects

C. contract is induced by fraud

D. in all the above situations

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9.
Can the agreement be avoided when there is an agreement to sell specific goods bur subsequently the goods perish or become so damaged without any fault of the seller or buyer?

A. It can be avoided by the parties

B. It can't be avoided by the parties

C. It can be avoided only with the approval of Court

D. It can be avoided only if there is a contract in this regard between the parties

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10.
Who can be a partner in a limited liability partnership?

A. An individual

B. A body corporate

C. A HUF

D. Both A and B

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Legal Aspects of Business MCQ Questions and Solutions with Explanations | Commerce

1. Which of the following is not regulated by the Competition Act, 2002

Answer & Solution

2. What happens to a continuing guarantee in case of surety's death?

Answer & Solution

3. Memorandum of Association does not contain information relating to:

Answer & Solution

4. What is the meaning of novation?

Answer & Solution

Answer & Solution

6. The officer designated by the public authorities in all administrative units or offices under it to provide information to the citizens requesting for information under the act is known as

Answer & Solution

Answer & Solution

8. Doctrine of caveat emptor does not apply, when

Answer & Solution

9. Can the agreement be avoided when there is an agreement to sell specific goods bur subsequently the goods perish or become so damaged without any fault of the seller or buyer?

Answer & Solution

10. Who can be a partner in a limited liability partnership?

Answer & Solution

Read More Section(Legal Aspects of Business)

1.
Which of the following is not regulated by the Competition Act, 2002

2.
What happens to a continuing guarantee in case of surety's death?

3.
Memorandum of Association does not contain information relating to:

4.
What is the meaning of novation?

6.
The officer designated by the public authorities in all administrative units or offices under it to provide information to the citizens requesting for information under the act is known as

8.
Doctrine of caveat emptor does not apply, when

9.
Can the agreement be avoided when there is an agreement to sell specific goods bur subsequently the goods perish or become so damaged without any fault of the seller or buyer?

10.
Who can be a partner in a limited liability partnership?