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1

Business Law

True/False
Question Consideration can not be a past consideration.

Correct False
Answer
Your Answer False

Multiple Choice Multiple Answer


Question The following types of companies are required to have their own articles

Correct Unlimited companies , Companies limited by guarantee , Private companies limited


Answer by shares
Your Answer Unlimited companies , Companies limited by guarantee , Private companies limited
by shares

Select The Blank


Question When the person to whom the proposal is made signifies his assent thereto, the
proposal is said to be ________.
Correct accepted
Answer
Your Answer accepted

True/False
Question An agreement to sell takes place in the case of existing goods or specific goods.

Correct False
Answer
Your Answer False

True/False
Question Specific goods are those which are identified and agreed upon at the time of a
contract of sale is made.
Correct True
Answer
Your Answer True

Select The Blank


Question As per S.2(1) (f) of the Consumer Protection Act, defect means any ________ in
the quality of goods
Correct shortcoming
Answer
Your Answer shortcoming

True/False
2

Question The membership of the association of company shall cease on the dissolution of
the firm.
Correct True
Answer
Your Answer True

Multiple Choice Multiple Answer


Question There can not be any partnership where a business is carried on

Correct With a benevolent purpose , Where any one of the patterns is entitled to total profit
Answer earned.
Your Answer With a benevolent purpose , Where any one of the patterns is entitled to total profit
earned.

Multiple Choice Multiple Answer


Question Selection committee for the appointment of the District Forum consists of

Correct President of the State Commission , Secretary of the Law Dept. of the state
Answer
Your Answer President of the State Commission , Secretary of the Law Dept. of the state

True/False
Question There are two types or kinds of capital of a company, i.e. owned capital and
borrowed capital.
Correct True
Answer
Your Answer True

Select The Blank


Question The directors of a company have to file their consent with the ________ to act as
director.
Correct registrar
Answer
Your Answer registrar

Select The Blank


Question Unpaid seller's right to stop the goods in transit arises only when the buyer is
________
Correct Bankrupt
Answer
Your Answer Bankrupt

Select The Blank


Question A ________ is an artificial person and has a legal entity.

Correct Company
Answer
Your Answer Company
3

Multiple Choice Multiple Answer


Question The companies having Articles are

Correct Unlimited Company , Company limited by guarantee , Company limited by shares


Answer
Your Answer Unlimited Company , Company limited by guarantee , Company limited by shares

Select The Blank


Question Issued capital can be defined as the ________ of shares which are offered to the
public for subscription.
Correct nominal value
Answer
Your Answer nominal value

Select The Blank


Question Partnership is based on ________

Correct faith
Answer
Your Answer faith

Multiple Choice Multiple Answer


Question The ingredients of the proposal are

Correct communication by one to another , to do or to abstain from doing something , the


Answer object should be to take assent of another
Your Answer communication by one to another , to do or to abstain from doing something , the
object should be to take assent of another

Multiple Choice Multiple Answer


Question Following are the conditions needed to prove an act of a partner is an act of a
partnership firm
Correct such a act be done in a ordinary course of a partnership firm , it must be related to
Answer the business of the firm , act must have been done in the name and on behalf of
the firm
Your 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

Multiple Choice Single Answer


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 agent
Answer
Your Answer agent

Multiple Choice Multiple Answer


4

Question A Consumer has the following rights

Correct To get the education of the availability of legal remedies , Seek redressal against
Answer unfair trade practices , To be informed about quality, quantity, potency, purity,
standard and price of goods
Your Answer To obtain interim relief without informing opposite party , Seek redressal against
unfair trade practices , To be informed about quality, quantity, potency, purity,
standard and price of goods

Multiple Choice Multiple Answer


Question Following persons can not be called partners

Correct minors , insolvents , co-owners without the agreement to carry on the business
Answer
Your Answer minors , insolvents , co-owners without the agreement to carry on the business

Multiple Choice Multiple Answer


Question There can not be any partnership where a business is carried on

Correct with a benevolent purpose , where any one of the partners is entitled to total profit
Answer earned
Your Answer with a benevolent purpose , where any one of the partners is entitled to total profit
earned

Multiple Choice Single Answer


Question In the right of lien, the possession is retained by

Correct Unpaid seller


Answer
Your Answer Unpaid seller

Select The Blank


Question The Indian Contract Act, 1872, does not cover all those duties which are not
________ in nature.
Correct contractual
Answer
Your Answer contractual

Multiple Choice Multiple Answer


Question An unregistered firm can institute a suit against

Correct wrongful use of the trade mark , wrongful use of the firm name
Answer
Your Answer wrongful use of the trade mark , wrongful use of the firm name

Multiple Choice Multiple Answer


Question Following are the persons who cannot enter into partnership firm

Correct A Burmese Buddhist husband and wife carrying on business , the members of
Answer Hindu Undivided Family carrying on Family business
5

Your Answer A Burmese Buddhist husband and wife carrying on business , the members of
Hindu Undivided Family carrying on Family business

Multiple Choice Multiple Answer


Question During the continuance of the firm, a transfer by a partner of his interest is the first
restricts the transferee to
Correct inspect the books of the firm , require accounts , interfere in the conduct of a
Answer business of a firm
Your Answer inspect the books of the firm , require accounts , receive the share of profits of the
transferring partner

Multiple Choice Multiple Answer


Question There are certain limitations to the principle of ratification which are

Correct where the principal does not have full knowledge at the fact , where the act to be
Answer ratified is illegal or void , where the ratification is not done within a reasonable time
Your 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

Multiple Choice Single Answer


Question In an appeal to the National Commission the appellant shall submit

Correct Six copies of memorandum


Answer
Your Answer Six copies of memorandum

Multiple Choice Single Answer


Question the vacancies arising from designation of the members of the Central Council shall
be filled from the same category by the
Correct Central Government
Answer
Your Answer Central Government

Multiple Choice Single Answer


Question Where the partners agree to carry on the business for a definite period of time, the
partnership is said to be
Correct for a fixed period
Answer
Your Answer for a fixed period

Multiple Choice Single Answer


Question In contract of sale the buyer becomes

Correct Absolute owner of the property


Answer
Your Answer Absolute owner of the property

Multiple Choice Single Answer


Question In contract of sale
6

Correct ownership in the property is passed from the seller to the buyer.
Answer
Your Answer ownership in the property is passed from the seller to the buyer.

True/False
Question A Promissory Note contains conditional undertaking to pay a certain sum of money.

Correct False
Answer
Your Answer False

Multiple Choice Single Answer


Question A public company doesn't have its own articles of association, it may adopt

Correct Table A as given in schedule-1


Answer
Your Answer Table A as given in schedule-1

Multiple Choice Multiple Answer


Question Following are the elements which constitute a partnership

Correct there must be a contract regarding a partnership , there must be an association of


Answer two or more persons
Your Answer there must be a contract regarding a partnership , there must be an association of
two or more persons

Match The Following


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

Multiple Choice Multiple Answer


Question The corporate veil under the Companies Act may be lifted in the following instances

Correct To investigate the real ownership of shares , To investigate the names and
Answer members of the company , To investigate whether the company is sham
Your Answer To investigate the real ownership of shares , To investigate the names and
members of the company , To investigate whether the company is sham

Select The Blank


Question A club or a society is an ________ of persons

Correct association
Answer
7

Your Answer association

Multiple Choice Multiple Answer


Question A partner is called as an outgoing partner by

Correct retirement , death , expulsion


Answer
Your Answer retirement , death , expulsion

Match The Following


Question Correct Answer Your Answer

Any person who for the Holder in due course Holder in due course
consideration becomes the
possessor of a promissory note
Negotiating Negotiable A minor A minor
Instruments so as to bind all,
except himself
A partner accepting Negotiable Implied authority Implied authority
Instrument
A person who can't accept or An insolvent An insolvent
indorse a bill

True/False
Question Services rendered by the Post and Telephone Department are covered by the
Consumer Protection Act, 1986
Correct True
Answer
Your Answer True

Multiple Choice Single Answer


Question The meaning of the term “Caveat Emptor” is

Correct let the buyer beware


Answer
Your Answer let the buyer beware

Multiple Choice Single Answer


Question A company can sue and also be sued by

Correct In its corporate name


Answer
Your Answer Any third person

Multiple Choice Single Answer


Question When the property in goods is transferred from the seller to the buyer at once, the
contract is called
Correct A Sale
Answer
8

Your Answer A Sale

Select The Blank


Question If any ________ is present while forming the agency then the relationship of
agency becomes contractual.
Correct consideration
Answer
Your Answer consideration

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

Business Law

Multiple Choice Multiple Answer

Question
The Prospectus is

Correct Answer
A document raising share capital , A Prospectus can be, any notice , Issued to invite the subscription to
shares

Your Answer
A document raising share capital , A Prospectus can be, any notice , Issued to invite the subscription to
shares

Select The Blank

Question
A person under any legal or natural ________ can not appoint an agent.

Correct Answer
disability

Your Answer
disability

Multiple Choice Multiple Answer


9

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

Your Answer
there must be a contract regarding a partnership , the main object of carry on the business must be sharing
of liabilities , there must be an association of two or more persons

Select The Blank

Question
Spurious goods means goods which are ________

Correct Answer
fake

Your Answer
fake

Multiple Choice Multiple Answer

Question
The District Protection Council shall consist of the following members

Correct Answer
Members representing such interests as may be prescribed by the State Govt. , The Collector of District

Your Answer
Members representing such interests as may be prescribed by the State Govt. , The Collector of District

True/False

Question
A contract of sale of goods is a contract whereby the seller transfers or agrees to transfer the property in
goods to the buyer for a price

Correct Answer
True

Your Answer
True
10

Match The Following

Question
Correct Answer
Your Answer

Section 68
Supply of necessaries to minor
Supply of necessaries to minor

Section 70
Liability of payment for non-gratuitous acts
Liability of payment for non-gratuitous acts

Section 63
Remission
Remission

Section 71
Responsibility of a finder of goods
Responsibility of a finder of goods

True/False

Question
A sub-agent acts under the direct control of his principal.

Correct Answer
False

Your Answer
False

Multiple Choice Multiple Answer

Question
The unpaid seller has following rights against the buyer personally
11

Correct Answer
suit for interest , repudiation of contract

Your Answer
suit for interest , repudiation of contract

True/False

Question
All contracts are agreements and all agreements are contracts.

Correct Answer
False

Your Answer
False

Select The Blank

Question
Unfair trade practice includes a representation made to public in a form that purpots to be a ________ of a
product.

Correct Answer
warranty

Your Answer
warranty

True/False

Question
When a person is entrusted with another's property, he may be appointed as an agent by necessity.

Correct Answer
True

Your Answer
True

Multiple Choice Single Answer

Question
12

Every company must have

Correct Answer
A Specific name

Your Answer
A Specific name

True/False

Question
An agreement to sell takes place in the case of existing goods or specific goods.

Correct Answer
False

Your Answer
False

Multiple Choice Multiple Answer

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

Your Answer
To investigate the real ownership of shares , To investigate the names and members of the company , To
investigate whether the company is sham

Multiple Choice Single Answer

Question
For attending the meeting of the Central Council or any Working Group, the outstanding non official
members of the Central Council shall be entitled to daily allowances of

Correct Answer
Rs.100/- per day

Your Answer
Rs.100/- per day
13

Multiple Choice Multiple Answer

Question
The unpaid seller has following rights against the goods

Correct Answer
stoppage in transit , withholding the delivery of goods

Your Answer
stoppage in transit , withholding the delivery of goods

Multiple Choice Single Answer

Question
A company which is not a private company is

Correct Answer
Public company

Your Answer
Public company

Multiple Choice Multiple Answer

Question
The principal must give compensation to his agent in respect of injury caused to an agent by the

Correct Answer
Principal's neglect , Principal's want to skill , Principal's want to knowledge

Your Answer
Principal's neglect , Principal's want to skill

Multiple Choice Multiple Answer

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

Your Answer
with a benevolent purpose , where any one of the partners is entitled to total profit earned
14

Multiple Choice Multiple Answer

Question
Following are the agencies of a three tier system of consumer disputes redressal agencies

Correct Answer
State commission , National commission , District Forum

Your Answer
State commission , National commission , District Forum

True/False

Question
A Cheque is a Bill of Exchange.

Correct Answer
True

Your Answer
False

Multiple Choice Multiple Answer

Question
Following persons can not be called partners

Correct Answer
minors , insolvents , co-owners without the agreement to carry on the business

Your Answer
minors , insolvents , co-owners without the agreement to carry on the business

Multiple Choice Multiple Answer

Question
An unregistered firm can institute a suit against

Correct Answer
wrongful use of the trade mark , wrongful use of the firm name

Your Answer
wrongful use of the trade mark , wrongful use of the firm name
15

Multiple Choice Multiple Answer

Question
In the absence of usage or custom of trade to the contrary, the implied authority of a partner does not
empower him to

Correct Answer
Acquire movable property on behalf of the firm , transfer movable property belonging to the firm

Your Answer
admit any liability in a suit or proceedings against the firm , enter into partnership on behalf of the firm

Select The Blank

Question
If any ________ is present while forming the agency then the relationship of agency becomes contractual.

Correct Answer
consideration

Your Answer
consideration

Multiple Choice Multiple Answer

Question
There was a contract for sale of goods. Delivery was to be given in october. Owing to a strike in the port of
loading, the goods were not shipped until November. The buyers are entitled to

Correct Answer
Repudiate the contract , Recind the contract

Your Answer
Modify the contract , Recind the contract , Rectify the contract

Multiple Choice Single Answer

Question
During the war, all the members of a private company were killed while they were in general meeting in a
bomb attack. Whether the company will

Correct Answer
Survive
16

Your Answer
Survive

Multiple Choice Multiple Answer

Question
According to Rule 3 of the Consumer protection rules the Central Council consists of the following members

Correct Answer
Minister in-charge of the dept. of home , Minister in-charge of dept. of Commerce and Industry , Minister
in-charge consumer affairs in states

Your Answer
Minister in-charge of dept. of civil supplies , Minister in-charge consumer affairs in states

Select The Blank

Question
Members of a club or a society are the ________ of each other.

Correct Answer
friends

Your Answer
representatives

Multiple Choice Single Answer

Question
The salary and other allowances of the members of the National Commission shall be defrayed out of the

Correct Answer
Consolidated fund of India

Your Answer
Consolidated fund of India

Multiple Choice Multiple Answer

Question
In the Conditional endorsement
17

Correct Answer
the liability of the endorser is limited , the liability of the endorser is negative , Endorser's liability can be
made dependent upon contingency

Your Answer
the liability of the endorser is limited , the liability of the endorser is negative

Multiple Choice Single Answer

Question
Negotiable Instrument Act deals with

Correct Answer
dishonour of cheques

Your Answer
dishonour of cheques

True/False

Question
An agreement without consideration is void.

Correct Answer
True

Your Answer
True

Multiple Choice Multiple Answer

Question
The modes of termination of agency are

Correct Answer
By completion of the agency business , By death of principal , By expiry of period or time

Your Answer
By completion of the agency business , By death of principal , By expiry of period or time

Select The Blank

Question
18

The Articles of Association controls ________ operations of the company.

Correct Answer
internal

Your Answer
internal

True/False

Question
Companies can be registered with undesirable names.

Correct Answer
False

Your Answer
False

Select The Blank

Question
Section 13 of the Negotiable Instrument Act gives ________ of Negotiable Instrument.

Correct Answer
meaning

Your Answer
meaning

Select The Blank

Question
When the notice of stoppage in transit is given by the seller to the ________in possession of goods, the
latter must re-deliver the goods to the seller.

Correct Answer
Carrier

Your Answer
Carrier

Match The Following


19

Question
Correct Answer
Your Answer

Dissolution of partnership at will


Giving due notice.
Giving due notice.

Domicile of partnership firm


Partnership Deed
Partnership Deed

Registration of partnership
Not mandatory
Not mandatory

Can be sued in its own name


Partnership firm
Partnership firm

True/False

Question
Mental acceptance amounts to an acceptance.

Correct Answer
False

Your Answer
False

Multiple Choice Multiple Answer

Question
Following are the characteristics of the partnership at will

Correct Answer
Partners are always free to break their relationship at their whim , It is for indefinite period
20

Your Answer
Partners are always free to break their relationship at their whim , It is for indefinite period

Multiple Choice Multiple Answer

Question
Consent is free when it is not caused by

Correct Answer
Undue influence , Fraud , Mistake

Your Answer
Undue influence , Fraud , Mistake

Multiple Choice Multiple Answer

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

Your 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

Multiple Choice Single Answer

Question
When an agent is appointed to perform a particular work or transaction only, he is known as

Correct Answer
special agent

Your Answer
special agent

True/False

Question
The statement in lieu of prospectus is prepared only for advertising purpose.
21

Correct Answer
False

Your Answer
False

Multiple Choice Single Answer

Question
The goods, which are owned and possessed by the seller at the time of sale, are known as

Correct Answer
Existing goods/Specific goods

Your Answer
Existing goods/Specific goods

Business Law

Multiple Choice Multiple Answer

Question
An agency by necessity may arise in following three circumstances,

Correct Answer
When an agent exceeds his authority in an emergency , When a person is entrusted with another's
property , In case of husband and wife

Your Answer
When an agent exceeds his authority in an emergency , When a person is entrusted with another's
property , In case of husband and wife

True/False

Question
If a bearer cheque is lost or stolen, the owner of such a cheque is put to the loss.

Correct Answer
True

Your Answer
True
22

Select The Blank

Question
Section 13 of the Negotiable Instrument Act gives ________ of Negotiable Instrument.

Correct Answer
meaning

Your Answer
definition

True/False

Question
In a contract of sale goods can be exchanged for goods.

Correct Answer
False

Your Answer
False

True/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

Your Answer
True

Multiple Choice Single Answer

Question
In an agreement to sell the seller is responsible for all the risk of loss as he is the

Correct Answer
Owner

Your Answer
Owner
23

Multiple Choice Single Answer

Question
The person to whom, Negotiable Instrument is transferred is entitled to

Correct Answer
amount

Your Answer
deposit

Match The Following

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
24

Multiple Choice Single Answer

Question
Any seven persons for forming a public company or any two persons for forming a private company
may come together and apply to the Registrar to form

Correct Answer
A Company

Your Answer
A Company

Multiple Choice Multiple Answer

Question
Following persons can not be called partners

Correct Answer
minors , insolvents , co-owners without the agreement to carry on the business

Your Answer
minors , insolvents

Multiple Choice Single Answer

Question
A company which is not a private company is

Correct Answer
Public company

Your Answer
Public company

Select The Blank

Question
An offer, to be treated as a valid offer, should be ________.

Correct Answer
communicated

Your Answer
25

communicated

True/False

Question
Consideration can not be a past consideration.

Correct Answer
False

Your Answer
False

Select The Blank

Question
Shelf prospectus is a prospectus issued by any ________ institutions for one or more issues of the
securities.

Correct Answer
financial

Your Answer
financial

True/False

Question
The social or the domestic contracts are excluded from the purview of the Indian Contract Act, 1872.

Correct Answer
True

Your Answer
True

Multiple Choice Multiple Answer

Question
The unpaid seller has following rights against the buyer personally

Correct Answer
suit for interest , repudiation of contract
26

Your Answer
suit for interest , repudiation of contract

Select The Blank

Question
As per S.2(1) (f) of the Consumer Protection Act, defect means any ________ in the quality of goods

Correct Answer
shortcoming

Your Answer
shortcoming

Select The Blank

Question
________ implies committing or threatening to commit any act forbidden by the Indian Penal Code.

Correct Answer
Coercion

Your Answer
Coercion

Multiple Choice Multiple Answer

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

Your Answer
with a benevolent purpose , where any one of the partners is entitled to total profit earned

Multiple Choice Single Answer

Question
The salary and other allowances of the members of the National Commission shall be defrayed out of
the

Correct Answer
27

Consolidated fund of India

Your Answer
Consolidated fund of India

Multiple Choice Single Answer

Question
Merely by reasons of any defect in the constitution of the council, no proceedings of the central council
shall be

Correct Answer
Invalid

Your Answer
Invalid

Multiple Choice Multiple Answer

Question
A Company shall, on being so required by a member, send to him a copy of following documents

Correct Answer
The Memorandum , The articles , Every other agreement

Your Answer
The Memorandum , The articles , Every other agreement

Select The Blank

Question
A Company subject to the provisions of section 32 of the companies act as unlimited may register
under this Act as a ________

Correct Answer
Limited company

Your Answer
Limited company

Multiple Choice Multiple Answer

Question
28

According to the Consumer Protection Act, 1986, a service includes

Correct Answer
Financial service , Entertainment

Your Answer
Financial service , Entertainment

True/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

Your Answer
True

Multiple Choice Multiple Answer

Question
An unregistered firm can institute a suit against

Correct Answer
wrongful use of the trade mark , wrongful use of the firm name

Your Answer
wrongful use of the trade mark , wrongful use of the firm name

Multiple Choice Multiple Answer

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

Your Answer
there must be a contract regarding a partnership , there must be an association of two or more persons
29

Multiple Choice Single Answer

Question
Every company by law must have

Correct Answer
Common seal

Your Answer
Common seal

Multiple Choice Multiple Answer

Question
The three ingredients in the performance of a contract of sale by the seller are

Correct Answer
Transfer of property in goods , The passing of the risk , Delivery of goods

Your Answer
Transfer of property in goods , The passing of the risk , Delivery of goods

Multiple Choice Multiple Answer

Question
Following particulars are included in the partnership deed

Correct Answer
Name , Address , Nature of business

Your Answer
Name , Address , Nature of business

Multiple Choice Single Answer

Question
If a complaint requires analysis or testing of commodities, the National Commission shall decide the
complaint as far as possible within a period of

Correct Answer
Five months from the date of notice received by the opposite party

Your Answer
Three months from the date of notice received by the opposite party
30

Multiple Choice Single Answer

Question
Object of the Central Council is to promote and protect the interest of

Correct Answer
The consumers

Your Answer
The consumers

Multiple Choice Multiple Answer

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

Your 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

Multiple Choice Multiple Answer

Question
A Company shall, on being so required by a member, send to him a copy of following documents

Correct Answer
The Memorandum , The articles , Every other agreement

Your Answer
The Memorandum , The articles , Every other agreement

Multiple Choice Multiple Answer

Question
According to Rule 3 of the Consumer protection rules the Central Council consists of the following
members

Correct Answer
Minister in-charge of the dept. of home , Minister in-charge of dept. of Commerce and Industry ,
Minister in-charge consumer affairs in states
31

Your Answer
Minister in-charge of dept. of civil supplies , Minister in-charge consumer affairs in states

Multiple Choice Single Answer

Question
A legal representative being holder of Negotiable Instrument can sue

Correct Answer
after the death of the holder

Your Answer
after the death of the holder

Multiple Choice Multiple Answer

Question
In the absence of usage or custom of trade to the contrary, the implied authority of a partner does not
empower him to

Correct Answer
Admit any liability in a suit or proceedings against the firm , Transfer movable property belonging to the
firm , Withdraw a suit or proceeding filed on behalf of the firm

Your Answer
Acquire movable property on behalf of the firm , Admit any liability in a suit or proceedings against the
firm , Transfer movable property belonging to the firm , Withdraw a suit or proceeding filed on behalf of
the firm

Multiple Choice Multiple Answer

Question
A cheque can be

Correct Answer
Bearer , Order , Crossed

Your Answer
Bearer , Order , Crossed

Match The Following


32

Question
Correct Answer
Your Answer

Barter system
Exchange of goods for goods
Exchange of goods for goods

Sale of goods Act, 1930


Movable goods
Movable goods

Caveat emptor
Let the buyer beware
Let the buyer beware

Sale
Exchange of goods for price
Exchange of goods for price

Select The Blank

Question
When the notice of stoppage in transit is given by the seller to the ________in possession of goods,
the latter must re-deliver the goods to the seller.

Correct Answer
Carrier

Your Answer
Carrier

Select The Blank

Question
The directors of a company have to file their consent with the ________ to act as director.

Correct Answer
registrar
33

Your Answer
registrar

True/False

Question
The company cannot exceed the powers conferred on it by its memorandum

Correct Answer
True

Your Answer
True

Multiple Choice Single Answer

Question
The registrar issues the letter of approval to approve the

Correct Answer
Name of the company

Your Answer
Declaration of the company

Multiple Choice Multiple Answer

Question
The Exception to the rule of "buyer beware" are

Correct Answer
quality of goods are not merchantable , presence of patent defect in goods

Your Answer
fitness for buyer's purpose , sale of goods by description , quality of goods are not merchantable

True/False

Question
Legal controls, restrictions on public companies are more and strict.

Correct Answer
True
34

Your Answer
True

Select The Blank

Question
All illegal agreements are ________ but all void agreements are not illegal.

Correct Answer
void

Your Answer
valid

Multiple Choice Multiple Answer

Question
A company has continuity of life. Its life is not affected by

Correct Answer
Death , Lunacy , Insolvency

Your Answer
Death , Lunacy , Insolvency

The fictional veil keeps the company and its members separate from each other.

True

False

Unenforceable agreements and illegal agreements mean one and the same thing.

True

False

Right to withhold the delivery of goods is similar to and


co-extensive with the right of
35

a)
Resale of
goods

b) Lein

Disposal of
c) goods

possession
d) of goods

The ingredients of the proposal are

a)
communication
of the one to
himself
b)
communication
by one to another

c)
to do or to
abstain from doing
something
d)
the object
should be to take
assent of another

Under section 144, mode of


service of summons are

a)
by
speed post

b) by
courier
services

c)
by
concerned
police
d) station
36

by
telephonic
call

The Articles
of
Association
are subsidiary
to

a)
Firms Act

Companies
b) Act

Certificate of
c) Registration

Memorandum
d) of Association

LIST OF ATTEMPTED QUESTIONS AND ANSWERS

True/False

Question
A sale is an executed contract whereas an agreement to sell is an executory
contract.

Correct Answer
True

Your Answer
True

Multiple Choice Single Answer

Question
In case of a public limited company, the maximum number is no limit, but the
minimum is fixed at
37

Correct Answer
7

Your Answer
7

Match The Following

Question
Correct Answer
Your Answer

Spurious goods
Goods claimed to be genuine
Doesn't include contract of personal service

Appropriate Laboratory
Recognised by Central Government
Recognised by Central Government

Services
Doesn't include contract of personal service
Stock and share

Multiple Choice Single Answer

Question
A partner unknown to the world is a

Correct Answer
Dormant

Your Answer
Dormant

True/False
38

Question
Company is treated as a legal person distinct from its members.

Correct Answer
True

Your Answer
True

True/False

Question
The law relating to sale of immovable goods is contained in the Sale of Goods
Act, 1930.

Correct Answer
False

Your Answer
False

Select The Blank

Question
Any person who is of age of majority according to the law to which he is a
subject, may ________ an agent.

Correct Answer
appoint

Your Answer
appoint

Select The Blank

Question
Special resolution and confirmation by ________is required for alteration of
Memorandum.

Correct Answer
Company Law Board

Your Answer
Company Law Board
39

True/False

Question
Minor do not have the right of access to and to inspect and copy any of the
books of the firm

Correct Answer
True

Your Answer
False

Multiple Choice Multiple Answer

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

Your Answer
Unlimited companies , Companies limited by guarantee , Private companies
limited by shares

Multiple Choice Multiple Answer

Question
In the absence of usage or custom of trade to the contrary, the implied authority
of a partner does not empower him to

Correct Answer
acquire movable property on behalf of the firm , transfer movable property
belonging to the firm

Your Answer
acquire movable property on behalf of the firm , transfer movable property
belonging to the firm

Multiple Choice Multiple Answer

Question
A company is
40

Correct Answer
A company is , An artificial legal person , A separate legal entity

Your Answer
A company is , An artificial legal person , A separate legal entity

Select The Blank

Question
Unpaid seller's right to stop the goods in transit arises only when the buyer is
________

Correct Answer
Bankrupt

Your Answer
Bankrupt

Multiple Choice Single Answer

Question
Competent parties means parties should be

Correct Answer
major in age

Your Answer
major in age

Select The Blank

Question
The presumptions laid by Sec.118 & 119 of Negotiable Instrument Act do not
arise where negotiable instrument is obtained by ________

Correct Answer
Fraud/Deceit

Your Answer
Fraud/Deceit

Multiple Choice Single Answer


41

Question
Right to withhold the delivery of goods is similar to and co-extensive with the
right of

Correct Answer
stoppage of goods in transit

Your Answer
stoppage of goods in transit

True/False

Question
Consumer is a person who procures service under a contract of personal
service.

Correct Answer
False

Your Answer
False

Multiple Choice Single Answer

Question
Following is an implied warranty

Correct Answer
warranty of freedom from encumbrance

Your Answer
warranty of freedom from encumbrance

Multiple Choice Multiple Answer

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

Your Answer
A Burmese Buddhist husband and wife carrying on business , the members of
Hindu Undivided Family carrying on Family business
42

True/False

Question
Presumptions do not apply where an instrument is obtained by fraud, offence or
illegal consideration.

Correct Answer
True

Your Answer
True

Select The Blank

Question
A proposal comes to an end by its ________.

Correct Answer
rejection

Your Answer
rejection

Match The Following

Question
Correct Answer
Your Answer

Minor's Agreement
Void ab initio
Void ab initio

Threatning to commit
Coercion
Coercion

Consideration
Past, Present and Future
Past, Present and Future
43

Mistake
Fact and Law
Fact and Law

Multiple Choice Multiple Answer

Question
The particular partnership automatically comes to an end

Correct Answer
on the completion of the venture , at the expiry of the fixed term

Your Answer
on the completion of the venture , at the expiry of the fixed term

Multiple Choice Multiple Answer

Question
The types or kinds of mercantile agents are

Correct Answer
Commission Agent , Broker , Auctioners

Your Answer
Broker , Auctioners

Multiple Choice Multiple Answer

Question
Following are the characteristics of partnership at will

Correct Answer
partners are always free to break their relationship at their whim , it is for
indefinite period

Your Answer
partners are always free to break their relationship at their whim , it is for
indefinite period
44

Multiple Choice Multiple Answer

Question
Following are the characteristics of the partnership at will

Correct Answer
Partners are always free to break their relationship at their whim , It is for
indefinite period

Your Answer
Partners are always free to break their relationship at their whim , It is for
indefinite period

True/False

Question
Goods which become ascertained subsequent to the formation of the contract of
sale are Ascertained Goods.

Correct Answer
True

Your Answer
True

Multiple Choice Single Answer

Question
Following is an implied condition

Correct Answer
Condition as to title

Your Answer
Condition as to title

Multiple Choice Single Answer

Question
Where the property in goods has not been transferred, the unpaid seller has the

Correct Answer
right of stop the goods in transit

Your Answer
45

right of stop the goods in transit

Select The Blank

Question
A ________ partner is like an undisclosed principal.

Correct Answer
sleeping

Your Answer
sleeping

Multiple Choice Multiple Answer

Question
Following are the essentials of valid acceptance

Correct Answer
it may be expressed and implied , it must make clear an intention on the part of
the promisee to fulfill the terms of the promise given

Your Answer
it may be expressed and implied , it must make clear an intention on the part of
the promisee to fulfill the terms of the promise given

Multiple Choice Single Answer

Question
Under a contract of sale goods have to be exchanged for

Correct Answer
Money

Your Answer
Money

Multiple Choice Single Answer

Question
The Negotiable Instrument Act is latest ammended in the year

Correct Answer
46

2002

Your Answer
2002

Multiple Choice Single Answer

Question
A cooler was purchased not for his own use, but it was installed at a bus-stand
for the use of public free of charge. it was held that the purchaser was a
consumer because -

Correct Answer
There was no commercial purpose

Your Answer
There was no commercial purpose

True/False

Question
Even if all the members of a company are citizens of India, the company does
not become a citizen of India.

Correct Answer
True

Your Answer
True

Select The Blank

Question
The confirmation of change of registered office of company within a state shall
be communicated to the company within ________ from the date of receipt of
such application.

Correct Answer
Four weeks

Your Answer
Four weeks
47

Multiple Choice Multiple Answer

Question
A company is registered as an artificial person. It has no

Correct Answer
Body , Soul , Conscience

Your Answer
Body , Soul , Conscience

Multiple Choice Single Answer

Question
The object of carrying on a business must be

Correct Answer
Sharing of profits

Your Answer
Sharing of profits

Multiple Choice Multiple Answer

Question
An unregistered firm can bring an action in any court of Law against

Correct Answer
a partner who steals the property of the partnership firm , a partner who
purposely damages the property of the partnership firm

Your Answer
a partner who steals the property of the partnership firm , a partner who
purposely damages the property of the partnership firm

Select The Blank

Question
Shelf prospectus is a prospectus issued by any ________ institutions for one or
more issues of the securities.

Correct Answer
financial

Your Answer
financial
48

Multiple Choice Multiple Answer

Question
The companies having Articles are

Correct Answer
Unlimited Company , Company limited by guarantee , Company limited by
shares

Your Answer
Unlimited Company , Company limited by guarantee , Company limited by
shares

Select The Blank

Question
The person who buys the goods for trading purposes is not a ________ under
the Consumer Protection Act, 1986.

Correct Answer
consumer

Your Answer
consumer

Multiple Choice Multiple Answer

Question
The memorandum of every company shall state

Correct Answer
The name of the company , The registered office , The main objects

Your Answer
The name of the company , The registered office , The main objects

Select The Blank

Question
When the certificate of incorporation is obtained, the promoters and directors of a
________ company invite the public to subscribe to its shares.

Correct Answer
49

public

Your Answer
public

Multiple Choice Single Answer

Question
Right to withhold the delivery of goods is similar to and co-extensive with the
right of

Correct Answer
Lein

Your Answer
Lein

Select The Blank

Question
Notice of dissolution of firm must be ________

Correct Answer
explicit

Your Answer
explicit

Multiple Choice Multiple Answer

Question
Limited companies can be formed for promoting

Correct Answer
Commerce , Art , Religion

Your Answer
Commerce , Art , Religion

A consumer has the right to be assured, wherever possible, access to


services at

a)
High prices
50

b) Low prices

Medium
prices
c)

Competitive
prices
d)

1. Negotiating Negotiable 1. Holder in due


Instruments so as to bind all,
except himself course
2. A partner accepting Negotiable 2. Non-acceptance
Instrument express authority
endorsement in
full
3. A person who can't accept or 3. Express
indorse a bill
authority
4. Any person who for the 4. Implied
consideration becomes the
possessor of a promissory note authority
5. An
insolvent
6. A
minor

LIST OF ATTEMPTED QUESTIONS AND ANSWERS

True/False

Question
Memorandum of a company is a primary and supreme document of the
company.

Correct Answer
True

Your Answer
True
51

True/False

Question
An auctioneer has full authority to sell the goods of his principal by private
contracts.

Correct Answer
False

Your Answer
False

Select The Blank

Question
Mistake regarding the ________ or the terms and conditions of the contract is a
Mistake of the fact.

Correct Answer
subject matter

Your Answer
subject matter

Select The Blank

Question
A valid tender of performance should be ________

Correct Answer
unconditional

Your Answer
conditional

Multiple Choice Single Answer

Question
If an agreement is caused by a mistake as to any law in force in India, it is

Correct Answer
not voidable

Your Answer
voidable
52

Multiple Choice Multiple Answer

Question
The memorandum of Association is the most important document, it acts out

Correct Answer
The constitution , The formation , The objectives

Your Answer
The constitution , The formation , The objectives

True/False

Question
Copies of memorandum and articles shall not be given to members.

Correct Answer
False

Your Answer
False

Multiple Choice Single Answer

Question
In contract of sale

Correct Answer
ownership in the property is passed from the seller to the buyer.

Your Answer
acquisition in the property is passed from the seller to the buyer.

Multiple Choice Single Answer

Question
The capacity to contract with an agent is the part of the law of

Correct Answer
statute

Your Answer
agency
53

Multiple Choice Single Answer

Question
"Every agreement and promise enforceable at law is a contract", This statement
was made by -

Correct Answer
Sir Fredrick Pollock

Your Answer
Sir Fredrick Pollock

Select The Blank

Question
The registration fo partnership firm is ________.

Correct Answer
not compulsory

Your Answer
compulsary

Match The Following

Question
Correct Answer
Your Answer

Cannot enter into partnership


Two partnership firms
Domicile of partnership firm

Giving due notice


Dissolves partnership at will
Dissolves partnership at will

Partnership Deed
Domicile of partnership firm
54

Two partnership firms

Not mandatory
Registration of partnership
Can be sued in its own name

Partnership firm
Can be sued in its own name
Registration of partnership

Multiple Choice Single Answer

Question
Mr. Dang and Mr. Thomas work together. Mr. Dang receives all the profits earned
and pays Mr. Thomas certain amount for his work as wages. whether Mr. Dang
and Mr. Thomas are

Correct Answer
Master and Servant

Your Answer
Agents

Select The Blank

Question
The contract of agency between the principal and his agent is ________

Correct Answer
enforceable

Your Answer
enforceable

Multiple Choice Multiple Answer

Question
A condition is a type of stipulation and has following characteristics

Correct Answer
55

It is of the subsidiary character , A breach of it gives the suffered party the one &
only one right to repudiate the contract

Your Answer
It is of fundamental in nature , It is of the subsidiary character , It directly goes to
the root of the contract

Multiple Choice Multiple Answer

Question
Following persons cannot become a partners

Correct Answer
Corporation , an alien enemy with an Indian subject , company

Your Answer
Corporation , an alien enemy with an Indian subject , company

Select The Blank

Question
Karta of Joint-Hindu family is ________ of his family.

Correct Answer
representative

Your Answer
owner

True/False

Question
Mental acceptance amounts to an acceptance.

Correct Answer
False

Your Answer
True

Multiple Choice Multiple Answer

Question
56

The Articles of Association contains the

Correct Answer
Rules , Regulations , Bye-laws

Your Answer
Rules , Regulations , Bye-laws

Multiple Choice Multiple Answer

Question
The memorandum of a company shall be

Correct Answer
Printed , Divided into paragraphs numbered consecutively , Signed by each
subscriber

Your Answer
In English language only , Printed , Divided into paragraphs numbered
consecutively

Multiple Choice Multiple Answer

Question
Presumptions do not arise where an instrument is obtained by

Correct Answer
fraud , offence , illegal consideration

Your Answer
fraud , offence , illegal consideration

Multiple Choice Single Answer

Question
Memorandum of a public company must be signed by

Correct Answer
Seven persons

Your Answer
Two persons
57

Multiple Choice Single Answer

Question
Consumer Dispute Redressal Forum is a District Forum established by

Correct Answer
the State Govt. in each District of the State by Notification

Your Answer
the Central Govt. in each District of the State by Notification

Select The Blank

Question
In a ________ contract, the future event is collateral to the contract.

Correct Answer
Contingent

Your Answer
Contingent

Multiple Choice Multiple Answer

Question
The partner who is illegally expelled

Correct Answer
can claim re-instatement , can sue the firm for the refund of his share in the
profits as well as profits

Your Answer
can claim re-instatement , can sue the firm for the refund of his share in the
capital only & not the profits

Multiple Choice Multiple Answer

Question
Public notice is required to be given

Correct Answer
on the dissolution of a firm which is registered , on the retirement of any of the
partner of a registered firm

Your Answer
on the dissolution of a firm which is registered , on the dissolution of a firm which
58

is unregistered , on retirement of a dormant partner

Multiple Choice Multiple Answer

Question
Goods means

Correct Answer
growing crops , stocks & shares

Your Answer
actionable claims , growing crops , stocks & shares

Multiple Choice Multiple Answer

Question
Presumption shall be made

Correct Answer
of consideration , as to time of acceptance , as to order of endorsement

Your Answer
of consideration , as to time of acceptance , as to order of endorsement

Multiple Choice Single Answer

Question
The holder in due course gets the instrument free from

Correct Answer
all defects in the title of the instrument

Your Answer
all defects in the title of the instrument

True/False

Question
Subsidiary company can hold shares and can acquire membership of the holding
company.

Correct Answer
False
59

Your Answer
True

Multiple Choice Multiple Answer

Question
In a sale if the seller becomes insolvent after a contract of sale and the buyer has
paid the price, the buyer can claim the goods from the

Correct Answer
Official Assignee , Receiver

Your Answer
Seller's agent , Seller , Official Assignee

Multiple Choice Multiple Answer

Question
Liabilities of partners arises to third party

Correct Answer
for wrongful acts of a partners , for misappropriation by its partners , for acts of
the firm

Your Answer
for wrongful acts of a partners , for acts of the firm

Multiple Choice Multiple Answer

Question
Consent means

Correct Answer
assent of another , assent to support a claim , consent of the offeror to the
contract

Your Answer
assent to support a claim , consent from the elements which vitiates it , consent
of the offeror to the contract

True/False
60

Question
"Law" means a set of rules and regulations in the nature of dictatorship.

Correct Answer
False

Your Answer
True

Select The Blank

Question
A firm is a name given to the partners ________

Correct Answer
collectively

Your Answer
collectively

Multiple Choice Multiple Answer

Question
The memorandum of every company shall state

Correct Answer
The name of the company , The registered office , The main objects

Your Answer
The name of the company , The registered office , The main objects

Multiple Choice Multiple Answer

Question
In special agency,

Correct Answer
agency lasts for a specific period , agency lasts for a particular type of job or work
, agents has limited authority

Your Answer
agency lasts for a specific period , agency lasts for a particular type of job or work
, agents has limited authority
61

True/False

Question
In case the object of an agency becomes unlawful, the agency can not be
terminated.

Correct Answer
False

Your Answer
False

Select The Blank

Question
The Indian Contract Act, 1872, does not cover all those duties which are not
________ in nature.

Correct Answer
contractual

Your Answer
contractual

Multiple Choice Multiple Answer

Question
Partners by Estoppel or holding out are also called as

Correct Answer
quasi-partner , nominal partner

Your Answer
quasi-partner , nominal partner

True/False

Question
The company law board may, at any time, by order, extend the time for the filing
of documents.

Correct Answer
True

Your Answer
62

True

Match The Following

Question
Correct Answer
Your Answer

Unlawful Business
Dissolution of Partnership
Association of two or more persons

Sub-partner
Sharing of profits by outsiders
Competent

Partnership
Association of two or more persons
Dissolution of Partnership

Partners have to be
Competent
Nominal partner

Partner lending his name only


Nominal partner
Sharing of profits by outsiders

Multiple Choice Multiple Answer

Question
No company shall be registered by name which has a name which is identical
with

Correct Answer
The name by which a company is in existence , A registered trade mark , A trade
mark which is subject of an application for registration
63

Your Answer
The name by which a company is in existence , A registered trade mark , A
partnership firm

Select The Blank

Question
When the person to whom the proposal is made signifies his assent thereto, the
proposal is said to be ________.

Correct Answer
accepted

Your Answer
accepted

Select The Blank

Question
A person under any legal or natural ________ can not appoint an agent.

Correct Answer
disability

Your Answer
disability

Multiple Choice Single Answer

Question
The seller can file a suit against the buyer for the price of goods only after

Correct Answer
the property in goods is transferred to the buyer

Your Answer
the goods are agreed to sell to buyer

Multiple Choice Single Answer

Question
Negotiable Instrument Act deals with
64

Correct Answer
dishonour of cheques

Your Answer
dishonour of cheques

Multiple Choice Single Answer


Question Under a contract of sale goods have to be exchanged for
Correct Answer Money
Your Answer Money

Multiple Choice Multiple Answer


Question Following particulars are included in the partnership deed
Correct Answer Name , Address , Nature of business
Your Answer Name , Address , Nature of business

Select The Blank


Question The company does not possess ________ still it is a person in the eyes of law.
Correct Answer fundamental rights
Your Answer fundamental rights

Multiple Choice Multiple Answer


Question The memorandum of a company shall be
Correct Answer Printed , Divided into paragraphs numbered consecutively , Signed by each subscriber
Your Answer Printed , Divided into paragraphs numbered consecutively , Signed by each subscriber

Select The Blank


Question An offer, to be treated as a valid offer, should be ________.
Correct Answer communicated
Your Answer communicated

Multiple Choice Single Answer


Question Competent parties means parties should be
Correct Answer major in age
Your Answer major in age

Multiple Choice Single Answer


Question The promise to pay a time barred debt is
Correct Answer not payable unless it was promised in writing and signed by the person charged with
Your Answer not payable unless it was promised in writing and signed by the person charged with

Select The Blank


Question All illegal agreements are ________ but all void agreements are not illegal.
Correct Answer void
Your Answer void

True/False
Question Goods which become ascertained subsequent to the formation of the contract of sale are Ascertained Goods.
Correct Answer True
Your Answer True

Multiple Choice Multiple Answer


Question A person is considered the holder of Negotiable Instruments if
Correct Answer his name appear on an instrument , he is in possession of bearer instrument , he is the endorses of a cheque
Your Answer his name appear on an instrument , he is in possession of bearer instrument , he is the endorses of a cheque
65

Select The Blank


Question According to Prof. Hanney, "Partnership is the relating existing between persons competent to make contracts who agree to
carry on a ________"
Correct Answer Lawful business is common with a view to private gain
Your Answer Lawful business is common with a view to private gain

Multiple Choice Single Answer


Question People purchasing the commodities for the purpose of trading is
Correct Answer trader
Your Answer trader

Multiple Choice Multiple Answer


Question An unregistered firm can bring an action in any court of Law against
Correct Answer a partner who steals the property of the partnership firm , a partner who purposely damages the property of the
partnership firm
Your Answer a partner who steals the property of the partnership firm , a partner who purposely damages the property of the
partnership firm , a partner who wrongfully deals with the assets of the firm

Match The Following


Question Correct Answer Your Answer

Unlawful Business Dissolution of Partnership Dissolution of Partnership

Sub-partner Sharing of profits by outsiders Sharing of profits by outsiders

Partnership Association of two or more persons Association of two or more persons

Partners have to be Competent Competent

Partner lending his name only Nominal partner Nominal partner

Select The Blank


Question Issued capital can be defined as the ________ of shares which are offered to the public for subscription.
Correct Answer nominal value
Your Answer nominal value

Multiple Choice Multiple Answer


Question No company shall be registered by name which has a name which is identical with
Correct Answer The name by which a company is in existence , A registered trade mark , A trade mark which is subject of an
application for registration
Your Answer The name by which a company is in existence , A registered trade mark , A trade mark which is subject of an application
for registration

Multiple Choice Multiple Answer


Question The memorandum of Association of a company is very important. It contains
Correct Answer The name clause , The objects clause , The capital clause
Your Answer The name clause , The objects clause , The capital clause

Match The Following


Question Correct Answer Your Answer

Partner by holding-out Partner by estoppel Loss caused by fraud

Dissolution of partnership Completion of ventures Dormant Partner

Right of a partner To retire Completion of ventures


66

Partner is liable Loss caused by fraud To retire

Sleeping Partner Dormant Partner Partner by estoppel

Multiple Choice Single Answer


Question A company which has a control over a subsidiary company is a
Correct Answer Holding company
Your Answer Holding company

Multiple Choice Single Answer


Question The parties to the bill of exchange must be
Correct Answer certain
Your Answer certain

Select The Blank


Question Past consideration is one which is wholly suffered by the ________ even before making of the agreement.
Correct Answer promisee
Your Answer promisee

Multiple Choice Single Answer


Question A sale which is a public sale where various buyers try to buy the goods by outbidding each other is known as
Correct Answer Auction sale
Your Answer Auction sale

Select The Blank


Question Unpaid seller's right to stop the goods in transit arises only when the buyer is ________
Correct Answer Bankrupt
Your Answer Bankrupt

Multiple Choice Single Answer


Question An agency is based upon consent and hence, it is a
Correct Answer consensual relations
Your Answer consensual relations

Multiple Choice Single Answer


Question A certificate of incorporation is issued by
Correct Answer A Registrar
Your Answer A Registrar

Select The Blank


Question Any person who is of age of majority according to the law to which he is a subject, may ________ an agent.
Correct Answer appoint
Your Answer appoint

True/False
Question Where a cheque is crossed specially, the banker to whom it is crossed may again cross it specially to another banker, his
agent, for collection.
Correct Answer True
Your Answer True

Multiple Choice Single Answer


Question For the existence of a partnership there must be an association of
Correct Answer Two or more persons
Your Answer Two or more persons

Multiple Choice Single Answer


Question One man company is generally a
67

Correct Answer private company


Your Answer private company

True/False
Question Three parties can not enter into an agreement.
Correct Answer False
Your Answer False

True/False
Question Companies can be registered with undesirable names.
Correct Answer False
Your Answer False

True/False
Question Memorandum is adopted to control internal operations of the company.
Correct Answer False
Your Answer False

Multiple Choice Multiple Answer


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.
Your Answer With a benevolent purpose , Where any one of the patterns is entitled to total profit earned.

Multiple Choice Multiple Answer


Question A company is registered as an artificial person. It has no
Correct Answer Body , Soul , Conscience
Your Answer Body , Soul , Conscience

Select The Blank


Question A club or a society is an ________ of persons
Correct Answer association
Your Answer association

Multiple Choice Multiple Answer


Question Bill of exchange must be
Correct Answer in writing , unconditional , stamped
Your Answer in writing , unconditional , stamped

True/False
Question Company is treated as a legal person distinct from its members.
Correct Answer True
Your Answer True

True/False
Question Registration of firm is a condition precedent for filing the suit for seeking the remedy which arises out of contractual
obligations.
Correct Answer True
Your Answer True

Select The Blank


Question A firm is a name given to the partners ________
Correct Answer collectively
Your Answer collectively

Multiple Choice Multiple Answer


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
Your Answer inspect the books of the firm , require accounts , receive the share of profits of the transferring partner
68

Select The Blank


Question According to Salmond and ________, a promise without consideration is a gift and one made with consideration is a bargain.

Correct Answer Winfield


Your Answer Woodrow

Multiple Choice Single Answer


Question Where the liability of the shareholders of a company is limited to the extent of the unpaid amount on the shares held by them,
the company is known as a company
Correct Answer Limited by shares
Your Answer Limited by shares

True/False
Question Subsidiary company can hold shares and can acquire membership of the holding company.
Correct Answer False
Your Answer False

Multiple Choice Multiple Answer


Question An unregistered firm can bring an action in criminal court against
Correct Answer A partner who steals the property of the partnership firm , A partner who purposely damages the property of the
partnership firm
Your Answer A partner who steals the property of the partnership firm , A partner who purposely damages the property of the
partnership firm , A partner who wrongful deals with the assets of the firm

True/False
Question An agreement without consideration is void.
Correct Answer True
Your Answer True

Marks : 2

1. The Prospectus is

a)
A document raising share capital

A Prospectus can be, any notice


b)

Issued to invite the subscription to shares

c)
Invitation made to individual

d)
69

2. Partnership firm can be dissolved by the order of

A company may alter the provisions of its memorandum so as to change the place
3.
of registered office from one state to another foreign country.

True

False

4. Memorandum of a company is a primary and supreme document of the company.

True

False

1. The memorandum of association of a company shall be in forms

1. Alteration of Memorandum

2. Change of the place of company's registration office from one state to


another

2. Accounts of the company

3. Auditors Report

3. Table B, C, D and E in schedule 1

4. Confirmation by the Regional Director

4. Table X and Y in schedule 1


70

5. Change of place of registered office within a state

6. Change of place of registered office outside a state

The Holder in due course has the right to sue on the Negotiable Instrument in his
6.
own name for recovering the amount.

True

False

Marks : 5

7.

1. Relationship of Husband and Wife

1. The principal may ratify the same or disown the contract

2. A positive actor a prior affirmation by a principal is necessary in order to establish agency


subsequently

2. Agency by statute

3. Promoters of a company becomes its agents when the company is promoted or formed

3. Agency of special force

4. When an agent enters into a contract without any authority or the knowledge of his
principal

4. Agency of marketing

5. Agency by holding out.


71

6. Agency by Necessity

8. One of the essentials of a Bill of Exchange is that it

a)

must be in writing
b)
may be in writing

c)
must be verbal

may be in writing or verbal


d)

Any seven persons for forming a public company or any two persons for forming a
10.
private company may come together and apply to the Registrar to form

a)

A Firm
b)
A Company

c)
An Association

A Social meeting
d)

11. Following are the elements which constitute a partnership

a)
there must be a contract regarding a partnership

the main object of carry on the business must be sharing of liabilities


b)
72

there must be an association of two or more persons

c) such a business of a partnership must be carried on by third person

d)

12.

1. Firm

1. Can be formed at Will

2. Partner

2. Agents of the firm

3. Partnership

3. Partners

4. Minor Partner

4. Death or Insanity of the partners

5. Dissolution of a Partnership

5. Admitted for profits only

Marks : 2

13. A Consumer has the following rights

a)
To get the education of the availability of legal remedies

To obtain interim relief without informing opposite party


b)
73

Seek redressal against unfair trade practices


c)
To be informed about quality, quantity, potency, purity, standard and price of goods

d)

A Company subject to the provisions of section 32 of the companies act as


14.
unlimited may register under this Act as a

16. Following persons can not be called partners

a)
minors

insolvents
b)
co-onwers with the agreement to carry on the business

c)
co-owners without the agreement to carry on the business

d)

17. A Company is created by

a)
Natural birth

b) Law

Social recognition
c)
judicial order
74

d)

Marks : 2

18. When the notice of stoppage in transit is given by the seller to the

in possession of goods, the latter must re-deliver the goods to


the seller.
19. The memorandum of a company shall be

a)
In English language only

Printed
b)
Divided into paragraphs numbered consecutively

c)
Signed by each subscriber

d)

Marks : 2

20.
The Articles of Association controls operations of the company.

21. The exceptions to the Wagering Agreement are

a)
Cross-word competitions

Horse-race
b)
Lottery

c)
Match Fixing
75

d)

22. Void agreement means an agreement

a)

not enforceable by law


b)
Illegal in nature

c)
Not acceptable to courts of law

Violative of legal procedure


d)

23. Following are the essentials of valid acceptance

a)

acceptance can precede an offer


b)
acceptance must be unqualified

c)
acceptance can be communicated at any time

acceptance must be communicated to the offeror


d)

24. Under section 144, mode of service of summons are

a)
by speed post

by courier services
b)
76

by concerned police station


c)
by telephonic call

d)

Following are the conditions needed to prove an act of a partner is an act of a


25.
partnership firm

a)

act done in personal capacity


b)
such a act be done in a ordinary course of a partnership firm

c)
it must be related to the business of the firm

act must have been done in the name and on behalf of the firm
d)

26. English Law does not recognize formal contract.

True

False

27. The minimum number of persons required to form a public company is


28. A Company is

a)
A Juristic person

An artificial person
b)
A business person

c)
A legal person
77

d)

Marks : 2

29. The confirmation of change of registered office of company within a state shall be

communicated to the company within from the date of receipt of


such application.

Marks : 2

31.
Issued capital can be defined as the of shares which are offered
to the public for subscription.
32.
An agency is based upon the
33.
The company does not possess still it is a person in the
eyes of law.

34. A certificate of incorporation is issued by

a)
A Judge

A Registrar
b)
A Clerk

c)
An Advocate

d)

35. In case of Bill of Exchange, the notice of dishonour is essential.

True
78

False

36. Mr. Naik gives authority to Mr. Ravi to sell Mr. Naik's land and to pay himself, out of
the proceeds the debts due to him from Mr. Naik on the death of Mr. Naik, the
authority can be

a)
revoked

terminated
b)
cancelled

c)
continues

d)

37. Subsidiary company can hold shares and can acquire membership of the holding
company.

True

False

38. Directors are allowed to borrow from the public companies.

True

False

Marks : 2

39. Articles of Association contains

a)
Outside affairs of the company
79

b) Regulations of the company

Internal affairs of the company

c)
Conduct of company's business

d)

Marks : 2

40. Which of the following is not a mode of revocation of proposal ?

a)
By notice of revocation

By acceptor going bankrupt


b)
By lapse of time prescribed to accept it

c)
By promoting the contract

d)

42. Private company can commence its business immediately after receiving the
certificate of

a)
Registration

Formation
b)
Incorporation

c)
Commencement

d)
80

43. In the Conditional endorsement

a)
the liability of the endorser is limited

the liability of the endorser is negative


b)
it is not different from a restrictive instrument

c)
Endorser's liability can be made dependent upon contingency

d)

45.
An agent is simply blank a between his principal and the
third party.
46. Copies of memorandum and articles shall not be given to members.

True

False

47. Which authority of an agent can be inferred from the circumstances of the case ?

a)
ostensible

implied
b)
express

c)
apparent

d)

48. A person who merely gives an advice to another person in matters of business, does not thereby
becomes his agent.
81

True

False

50. There can not be any partnership where a business is carried on

a)
with a benevolent purpose

to earn profitto earn profit


b)
to sharing profits equally

c)
where any one of the partners is entitled to total profit earned

d)

51. Ratification can be valid, only

a)
if the act to be ratified is legal

if it is done for a part of transaction


b)
if done for the whole transaction

c)
if communicated to the concerned party

d)

52.
Future consideration is also known as consideration.

1. Sometimes contracts are entered into on behalf of the company before its
incorporation such pre-incorporation contracts are
82

a)
Followed

Binding
b)
Entered

c)
Made

d)

2. Articles of Association contains

a)
Outside affairs of the company

Regulations of the company


b)
Internal affairs of the company

c)
Conduct of company's business

d)

3.
The person acting as an agent on behalf of the principal should act
4. Partnership created at will of the partners is

a)
Particular partnership

General partnership
b)
partnership at will

c)
partnership for liked term

d)
83

7. The three ingredients in the performance of a contract of sale by the seller are

a)
Transfer of property in goods

The passing of the risk


b)
Holding of the goods

c)
Delivery of goods

d)

8. Non-registration of a partnership firm does not make the partnership agreement

a)
Void

Illegal
b)
Legal

c)
Voidable

d)

9. If the principal proves that any material fact has been dishonestly concealed from
him, by his agent then he gets following rights -

a)
he can repudiate the contract

he may claim damages for loss, if any, caused to him


b)
he may affirm the transaction and claim benefits accrued from it

c)
may revoke agent's authority
84

d)

Multiple Choice Multiple Answer

Question
Articles of Association contains

Correct Answer
Regulations of the company , Internal affairs of the company , Conduct of company's business

Your Answer
Regulations of the company , Internal affairs of the company , Conduct of company's business

Select The Blank

Question
The person acting as an agent on behalf of the principal should act ________.

Correct Answer
honestly

Your Answer
honestly

Multiple Choice Single Answer

Question
Partnership created at will of the partners is

Correct Answer
partnership at will

Your Answer
partnership at will

Multiple Choice Multiple Answer

Question
The three ingredients in the performance of a contract of sale by the seller are
85

Correct Answer
Transfer of property in goods , The passing of the risk , Delivery of goods

Your Answer
Transfer of property in goods , The passing of the risk , Delivery of goods

Multiple Choice Single Answer

Question
Non-registration of a partnership firm does not make the partnership agreement

Correct Answer
Void

Your Answer
Legal

9.
The company does not possess still it is a person in
the eyes of law.

Following are the types of jurisdiction, which have been conferred on the State
10.
Commission

a)

Appellate
b)
Supervisory

c)
Pecuniary

Revisional
d)

Marks : 2

11. The law relating to sale of immovable goods is contained in the Sale of Goods Act,
1930.

True
86

False

13. A company is a legal personality and as such it can

a)

Jointly own property with shareholders


b)
Own its property in its own name

c)
Enjoy its property in its own name

Dispose of its property in its own name


d)

Marks : 2

15. Following are the conditions needed to prove an act of a partner is an act of a
partnership firm

a)
act done in personal capacity

such a act be done in a ordinary course of a partnership firm


b)
it must be related to the business of the firm

c)
act must have been done in the name and on behalf of the firm

d)

16. A breach of a condition may be treated as breach of

a)
Consideration

Warranty
b)
87

Guarantee
c)
Proposal

d)

at Apply.

Marks : 2

1. In a sale if the seller becomes insolvent after a contract of sale and the buyer has
paid the price, the buyer can claim the goods from the

a)
Seller's agent

Seller
b)
Official Assignee

c)
Receiver

d)

at Apply.

Marks : 2

1. In a sale if the seller becomes insolvent after a contract of sale and the buyer has
paid the price, the buyer can claim the goods from the
88

a)
Seller's agent

Seller
b)
Official Assignee

c)
Receiver

d)

3.
A is an artificial person and has a legal entity.

Marks : 2

4. Partnership is created by

a)
An agreement and not by status

A contract and not by status


b)
An association and by status

c)
Carrying of business together and also by status

d)

Marks : 2

5.
A valid tender of performance should be
89

8. The memorandum of a company shall be

a)

In English language only


b)
Printed

c)
Divided into paragraphs numbered consecutively

Signed by each subscriber


d)

Marks : 2

9.
implies committing or threatening to commit any act forbidden
by the Indian Penal Code.
10.
A partner is like an undisclosed principal.
11. The liability of companies on the basis of liability are

a)
Unlimited companies

Limited by guarantee
b)
Limited by shares

c)
Statutory company

d)

Marks : 2
90

12.
Issued capital can be defined as the of shares which are offered
to the public for subscription.

13. Notice of dissolution of firm must be


Under the Consumer Protection Act of 1986, goods include actionable claim and
14.
money.

True

False

15. Partnership is a species (extension) of law of agency

True

False

16. A firm is a name given to the partners

17. Ratification can be valid, only

a)

if the act to be ratified is legal


b)
if it is done for a part of transaction

c)
if done for the whole transaction

if communicated to the concerned party


d)

Marks : 2

18. the authority of the agent as it appears to others is called as

a)
parallel authority
91

appropriate authority
b)
apparent authority

c) indirect authority

d)

19. The Articles of Association controls operations of the company


20. The very important stages in the connection of formation of a company are

a)

Promotion
b)
Registration

c)
Floatation

Operations before registrations


d)

21. The liability of companies on the basis of liability are

a)

Unlimited companies

b)
Limited by guarantee

Limited by shares
c)
Statutory company

d)
92

22.

1. Relationship of Husband and Wife

1. Agency of special force

2. A positive actor a prior affirmation by a principal is necessary in order to establish agency


subsequently

2. Agency by holding out.

3. Promoters of a company becomes its agents when the company is promoted or formed

3. The principal may ratify the same or disown the contract

4. When an agent enters into a contract without any authority or the knowledge of his principal

4. Agency by Necessity

5. Agency of marketing

6. Agency by statute

24. Following persons can not be called partners

a)
minors

b) insolvents

co-onwers with the agreement to carry on the business


c)
co-owners without the agreement to carry on the business

d)
93

25. The Articles of Association are subsidiary to

a)

Firms Act
b)
Companies Act

c)
Certificate of Registration

Memorandum of Association
d)

26.

1. Firm

1. Partners

2. Partner

2. Can be formed at Will

3. Partnership

3. Agents of the firm

4. Minor Partner

4. Admitted for profits only

5. Dissolution of a Partnership

5. Death or Insanity of the partners


94

27. All illegal agreements are but all void agreements are not illegal.

Choose Any One.

Marks : 2

28. If no date for dissolution for partnership at will is mentioned in notice, the firm is
dissolve as from the date of the

a)
Communication of notice

Posting of notice
b)
Signing the notice

c)
Intention to send notice

d)

29. A Company, when registered with limited liability under the Companies Act 1956,
shall be deemed to be a company

a)
Limited by members

Limited by stock
b)
Limited by shares

c)
Limited by capital

d)
95

Marks : 2

31. Particular partnership business is carried for

a)
particular adventure

indefinite adventures
b)
perpetual adventures

c)
different adventures

d)

The Indian Contract Act, 1872 includes the penal provisions in case of breach of
32.
contract.

True

False

33. The exceptions to the Wagering Agreement are

a)

Cross-word competitions

b)
Horse-race

Lottery
c)

Match Fixing

d)
96

34. Promissory note must be in

a)

in writing
b)
definite

c)
unconditional

uncertain
d)

Marks : 2

35. Limited companies can be formed for promoting

a)
Commerce

Art
b)
Religion

c)
Associations

d)

Marks : 2

36. There can not be any partnership where a business is carried on


97

a)
with a benevolent purpose

to earn profitto earn profit


b)
to sharing profits equally

c)
where any one of the partners is entitled to total profit earned

d)

37. Consent can be defined as

a)

agreement of two persons on an issue


b)
agreement of two or more persons upon the same thing in the same sense

c)
same sense and same issue agreement

agreement of two persons on same topic


d)

38. According to Salmond and , a promise without consideration is a


gift and one made with consideration is a bargain.

39. Section 10 of the Indian Contract Act, 1872 applies to contract of sale.

True

False

40. The memorandum of Association of a company is very important. It contains


98

a)

The name clause


b)
The objects clause

c)
The capital clause

The name of other companies


d)

Marks : 2

41. Company is treated as a legal person distinct from its members.

True

False

Marks : 2

41. Company is treated as a legal person distinct from its members.

True

False

43. In a contract of sale goods can be exchanged for goods.

True

False
99

44. The membership of the association of company shall cease on the dissolution of the firm.

True

False

45. A company can sue and also be sued by

a)

Its Managers
b)
Its Shareholders

c)
In its corporate name

Any third person


d)

Marks : 2

46. The law relating to sale of immovable goods is contained in the Sale of Goods Act,
1930.

True

False

48. An unregistered firm can institute a suit against

a)
wrongful use of the trade mark

wrongful use of the firm name


b)
the partner for settlement of firm's account

c)
100

the partner for any claim of set-off

d)

49. An unregistered firm can bring an action in any court of Law against

a)

a partner who steals the property of the partnership firm


b)
a partner who purposely damages the property of the partnership firm

c)
a partner who wrongfully deals with the assets of the firm

a partner who uses the firm name for gaining personal profits
d)

50. Following are the elements which constitute a partnership

a)

there must be a contract regarding a partnership


b)
the main object of carry on the business must be sharing of liabilities

c)
there must be an association of two or more persons

such a business of a partnership must be carried on by third person


d)

52. The chief test of the offer is

a)
object of the offer
101

b)
repercussions which will ensure the offer

intention with which offer is made


c)
facts underlying the offer

d)

53. Documents to be presented for the registration of a company with the registrar are

a)

The memorandum of the company


b)
Its articles

c)
The agreement, if any

Name of the Registrar


d)

An agreement is defined as a contract at its inception.

True

False
13.

1. Remission 1. Sector 63

2. Supply of necessaries 2. Section


42
3. Payment of money by 3. Unlawful
mistake or coercion
4. An agreement forbidden by 4. Section
law 68
5. Section
72
6. Section
102

80

Agreement is a contract voidable at the option of the


party to an agreement to make a mistake as to

a)
the agreement
b the contract subject to a specific conditions
)
the subject matter of the thing
c) the substance of the thing which is subject matter of
the agreement
d
)

There was a contract for sale of goods. Delivery was to


be given in october. Owing to a strike in the port of
loading, the goods were not shipped until November.
The buyers are entitled to

a)
Repudiate the contract
b Modify the contract
)
Recind the contract
c)
Rectify the contract
d
)

Company
based on
ownership
is

a)
Unlimited
company
b
) Public
company
c)
Statutory
company
d
) Company
limited by
shares
An agreement to agree in
future is not a contract.

True
103

False

The of 1986 is basically passed to protect the interest of the consumer.


An unregistered firm can bring an action in any court of Law against

a)
a partner who steals the
property of the partnership firm
b
) a partner who purposely
damages the property of the
c) partnership firm
a partner who wrongfully
d deals with the assets of the firm
)
a partner who uses the firm
name for gaining personal profits

In the absence of usage or custom of trade to


the contrary, the implied authority of a partner
does not empower him to

a)
acquire movable property
on behalf of the firm
b
) admit any liability in a suit
or proceedings against the
c) firm
transfer movable property
d belonging to the firm
)
withdraw a suit or
proceeding filed on behalf of
the firm

The company does not possess still it is a person in the eyes of law.

A legal representative being holder of Negotiable Instrument can sue

a)
after the death of the holder
b during life time of the holder
)
neither in life time nor after
c) death

any time during life time of


d legal representation
)
104

Ordinary damages are also known as

a)
compensatory
damages
b
) vindictive damages

c) exemplary
damages
d nominal damages
)

The object of carrying on a


business must be

a)
Division of
profits
b
) Bifurcation of
profits
c)
Surety of profits
d Sharing of
) profits

According to Salmond and , a promise without consideration is a gift and one made with
consideration is a bargain.
Which of the following is not a mode of revocation of proposal ?

a)
By
notice of
b revocation
)
By
c) acceptor
going
bankrupt
d
) By
lapse of
time
prescribed
to accept
it

By
promoting
the
contract
The object of the Consumer Protection Act of 1986 is to educate the people so that they can find out

for their grievances


105

An unregistered firm can bring an action in any court of Law against

a)
a
partner
b who steals
) the
property of
c) the
partnership
d firm
) a
partner
who
purposely
damages
the
property of
the
partnership
firm

a
partner
who
wrongfully
deals with
the assets
of the firm

a
partner
who uses
the firm
name for
gaining
personal
profits
In the absence of usage or custom of trade to the
contrary, the implied authority of a partner does not
empower him to

a)
acquire movable property on
behalf of the firm
b
) admit any liability in a suit or
proceedings against the firm
c)
transfer movable property
belonging to the firm
d
) withdraw a suit or
proceeding filed on behalf of the
firm
106

Multiple Choice Single Answer


Question Purpose statement
Correct Answer All of above

Multiple Choice Single Answer


Question It can be used as legal record which may be used in the court of law
Correct Answer Written communication

Multiple Choice Multiple Answer


Question Characteristics of negotiations are as follows
Correct Answer There are not set of established rules to resolve conflict , Parties are not searching for
agreement

True/False
Question Communication is a process of achieving understanding between people
Correct Answer True

Multiple Choice Multiple Answer


Question The different types of barriers that can come in the way of effective communication are
Correct Answer Physical , Cultural , Mechanical

Select The Blank


Question The ________ is the ________ accurate in passing on information.
Correct Answer single strand chain
Correct Answer least

Multiple Choice Multiple Answer


Question As per Newman and Summer Communication is the Exchange of
Correct Answer Facts , Ideas , Opinions , Emotions

True/False
Question The sender of the message decodes the message
Correct Answer False

Select The Blank


Question ________ is the progressive realization of a ________, predetermined goal.
Correct Answer Success
Correct Answer worthwhile

Multiple Choice Single Answer


Question Barrier for written communication can be
Correct Answer Language
107

Multiple Choice Single Answer


Question These are permanent records for business
Correct Answer Business letters

Multiple Choice Single Answer


Question Usually its place is at the top center
Correct Answer Head address

Multiple Choice Multiple Answer


Question A negotiation process reveals the following linguistic behaviors
Correct Answer Information , Interaction , Concession

Multiple Choice Single Answer


Question It is very useful in collecting dues from customers
Correct Answer Business letters

Multiple Choice Single Answer


Question The most effective way of communication
Correct Answer Written

Multiple Choice Multiple Answer


Question Holding your head high would be sign of
Correct Answer Honor , Confidence , Self-respect

True/False
Question Horizontal communication is between superiors and subordinates
Correct Answer False

Select The Blank


Question If eye contact is maintained so ________ that the boss feels uncomfortable, he may feel that his
________ is being challenged.
Correct Answer intently
Correct Answer authority

Select The Blank


Question The Receiver must ________ the message by attaching meaning to the words and symbols
Correct Answer decode

Select The Blank


Question It is necessary to acquire the ability to sustain direct ________, if you want to be taken ________.
Correct Answer eye contact
Correct Answer seriously

Multiple Choice Single Answer


108

Question Many times good plans don’t see the light of the day due to non-cooperation on the part of
Correct Answer Executive

True/False
Question Vision is the ability to see opportunities
Correct Answer True

Select The Blank


Question Producing enough output to accomplish your ________ becomes the ________ for achievements.
Correct Answer goals
Correct Answer measurement

True/False
Question Telesales is generating and qualifying new leads for closure by another sales channel
Correct Answer False

Select The Blank


Question ________ listening raises body pressure, steps up the pulse – rate and results in ________.
Correct Answer Active
Correct Answer fatigue

Multiple Choice Multiple Answer


Question One of the best methods of building positive relationships with others are asking for
Correct Answer Advice , Favor

Match The Following


Question Correct Answer

To be truly valuable your vision must be accompanied by another quality i.e.


an ability to see how to make that future come true

Realizing a vision always starts with defining your vision

Success is never achieved by men and women of caution so dream big

The great thing in this world is not so much where we are but in what direction we are going

Do not allow your present position no matter how limited to rob you of your vision

True/False
Question Tele prospecting is calling customers to maintain and nurture key account relationships
Correct Answer False

Multiple Choice Single Answer


109

Question Cultural context


Correct Answer Refers to both communication and the ethnic or national background of persons
communicating

Multiple Choice Single Answer


Question Head Address
Correct Answer The name, address, tel. No. Etc. Of the sender of letter

Multiple Choice Single Answer


Question Head address is the
Correct Answer Name , address and tel no of the sender of the letter

Multiple Choice Single Answer


Question It is communicator’s response to a message, whether favorable or unfavorable
Correct Answer Feedback

Multiple Choice Single Answer


Question Objectives of the letter can be known in one glance by reading the
Correct Answer Subject

Multiple Choice Single Answer


Question Sometimes people tend to procrastinate when they think that the work is
Correct Answer Unimportant

Multiple Choice Single Answer


Question The realization of vision requires
Correct Answer innovation

True/False
Question Getting rid of essential tasks is one of the key to effective time management
Correct Answer False

Multiple Choice Single Answer


Question Successful people realize the value of
Correct Answer Time management

Multiple Choice Single Answer


Question Policy memorandums and directives
Correct Answer These messages gives work rules, procedures, instructions etc.

Select The Blank


Question We must ________ our success not by our activity but by our ________.
Correct Answer measure
Correct Answer output
110

True/False
Question People who have the ability to build relationships have the ability to listen attentively
Correct Answer True

Multiple Choice Multiple Answer


Question Communication is
Correct Answer Unavoidable , Irreversible

Multiple Choice Multiple Answer


Question The manager should provide with
Correct Answer Vision , Values , Verve

Select The Blank


Question Lost ________ not only damages friendships, it also destroys ________ relationships.
Correct Answer credibility
Correct Answer business

Select The Blank


Question Boosting your ________ skills can increase your ________ but isn’t a cure-all
Correct Answer communication
Correct Answer success

True/False
Question A manager should think about the present and not aboutthe future
Correct Answer False

Multiple Choice Single Answer


Question Written communication is a
Correct Answer Non-Direct Communication

Match The Following


Question Correct Answer

Employees through their leaders should be associated with decision making


this will frustrate any negative aspect if the grapevine

In personal contact you have much more command over the receivers attention

In face to face communication once you make contact with the audience
there is no time lag between the transmission of the message and its reaction

Grapevine is seen as less credible than the formal channels of communication


111

Telephones can be useful as group communication as well as one to one contacts

True/False
Question All kinds of Stress can be avoided
Correct Answer False

Multiple Choice Single Answer


Question Strain
Correct Answer When pressure and stress is continuous

Multiple Choice Multiple Answer


Question The three stages of stress are
Correct Answer Alarm stage , Resistance stage , Exhaustion stage

Multiple Choice Multiple Answer


Question Resistance stage
Correct Answer It is the second stage of stress , Here the body repairs damage caused from the stress

True/False
Question People react similarly to stress
Correct Answer False

True/False
Question To avoid stress stay away from things that are negative
Correct Answer True

Select The Blank


Question A good company differs from another in terms of ________ quality.
Correct Answer Service

Multiple Choice Multiple Answer


Question Treat everyone as important and
Correct Answer Do not underestimate them , Understand them

Select The Blank


Question The missing step in Software lifecycle is Analysis,________,Coding and Implementation
Correct Answer Design

Multiple Choice Multiple Answer


Question Visual aids are
Correct Answer Film slides , Pictures , Diagrams

True/False
Question In a Negotiation both the parties have pre-determined goals
112

Correct Answer True

Multiple Choice Single Answer


Question What is a greeting to the receiver of the letter?
Correct Answer Salutation

Multiple Choice Single Answer


Question It is normally written below the complimentary close in a letter
Correct Answer Signature

Multiple Choice Single Answer


Question What is salutation?
Correct Answer It is a greeting to the receiver

Multiple Choice Single Answer


Question It is a statement which describes an opinion
Correct Answer Report

Multiple Choice Single Answer


Question These are the electronic brochures of companies
Correct Answer Websites

Select The Blank


Question Written communication can be kept as ________ record.
Correct Answer Legal

Select The Blank


Question ________ is formulated more carefully than oral communication.
Correct Answer Written

Select The Blank


Question ________ can be referred for further correspondence.
Correct Answer Business letter

Multiple Choice Multiple Answer


Question Advertising material is
Correct Answer Leaflets , Brochures , Pamphlets

Multiple Choice Multiple Answer


Question Report means
Correct Answer A document in which given problem is examined , An account or statement which
describes an opinion

Multiple Choice Multiple Answer


113

Question What is extranet?


Correct Answer its is an electronic platform , It sends purchase order to suppliers through this channel ,
This concept is called supply chain management

Multiple Choice Multiple Answer


Question What are technical reports?
Correct Answer It differs from others in its subject matter , It is like the memorandum report , It is a
highly specialised form of report

Multiple Choice Multiple Answer


Question Major users of Staff reports are
Correct Answer Indian Air force , Indian Navy , Border security force

True/False
Question House journals are a type of oral communication.
Correct Answer False

True/False
Question While writing memos the writer needs to be concerned about the sensitivity of the wordings.
Correct Answer False

True/False
Question Major uses of staff reports are the branches of Armed forces.
Correct Answer False

Select The Blank


Question The manager has access to information and ________
Correct Answer Material

Multiple Choice Multiple Answer


Question Verve
Correct Answer Leadership , Analyse , Vision , Positive enthusiasm

Select The Blank


Question Vision is________
Correct Answer Acquired

True/False
Question Vision is inborn.
Correct Answer False

Match The Following


Question Correct Answer
114

Poor eyes Limited eyesight

Poor vision Llimited deeds

Seer Spiritualist

Achievements Accomplishments

Select The Blank


Question The concept of achieving success begins with ________ mental attitude
Correct Answer Positive

Multiple Choice Single Answer


Question If bank is time then we receive how many dollars in terms of seconds in a day?
Correct Answer 86400

Match The Following


Question Correct Answer

Opposite of procrastination is To solve a problem without complete information

Ways to prevent interruption To put someone between you and the people

Time management technique To know and list priorities

It can't be used once it is lost Time

True/False
Question Thinking and planning ahead wastes time
Correct Answer False

True/False
Question Getting organised is the solution for not wasting time on lost items
Correct Answer True

True/False
Question Planning ahead will eliminate the wastage of time due to unexpected delays
Correct Answer True

Multiple Choice Single Answer


Question Communication is the task of imparting
Correct Answer Information

Select The Blank


115

Question Due to effective ________ the manager comes to know the hidden ability of his subordinates
Correct Answer Communication

True/False
Question The basic function of any business organisation is planning, organising, staffing, directing and
controlling
Correct Answer True

Multiple Choice Single Answer


Question Head jerks indicate
Correct Answer Insolence and rejections

Select The Blank


Question The greater the gesture the louder the ________
Correct Answer Speech

Multiple Choice Single Answer


Question This number can be used in further correspondence for ready reference.
Correct Answer Outward

Multiple Choice Single Answer


Question This consists of the name and address of the person to whom the letter is being sent.
Correct Answer Inside address

Multiple Choice Multiple Answer


Question The activities included in written communication are
Correct Answer Business Letters , Reports , Notices

Multiple Choice Multiple Answer


Question The advantages of written communication are
Correct Answer Accuracy , Can be recorded , Brevity

Multiple Choice Multiple Answer


Question Business letters can be useful in different ways like
Correct Answer Legal evidence , Permanent information , Recovering dues

Multiple Choice Single Answer


Question Few stress can be avoided as a result of
Correct Answer Mental attitude

Select The Blank


Question The amount of stress we experience is directly related to our________
Correct Answer Belief
116

Select The Blank


Question The quality of our ________ with co-workers , seniors and subordinates is responsible for the
success of any organisation.
Correct Answer Relationship

Multiple Choice Multiple Answer


Question This makes communication difficult
Correct Answer One party talks and the other listens , One party gets angry , One party keeps focus on
themselves

Select The Blank


Question ________ has come to be used in preference to public speaking
Correct Answer Presentation

Select The Blank


Question During negotiation one needs to control________
Correct Answer Emotions

True/False
Question There are two types of presentation
Correct Answer True

Multiple Choice Single Answer


Question Where are enclosures written?
Correct Answer After complimentary close

Select The Blank


Question Normally ________ address is written under the outward number.
Correct Answer Inside

Multiple Choice Multiple Answer


Question Direct memo-routine enquiries
Correct Answer Day to day routine work discussed , Covers the vital bit of information

Multiple Choice Multiple Answer


Question What is B2C?
Correct Answer Business to consumer , It is an internet domain , It is useful for products and services
when shopper's aim is convenience and buyer's aim need information about product features and prices

True/False
Question Memorandums cannot be structured in email system.
Correct Answer False

True/False
117

Question Written communication is a direct communication.


Correct Answer False

True/False
Question The complimentary close of a letter must agree in tone with salutation.
Correct Answer True

True/False
Question Reports play a very important role in business organisation especially for checking
performance.
Correct Answer True

True/False
Question Tele coverage is taking order from catalogue or ads and outbound calling.
Correct Answer False

Multiple Choice Single Answer


Question Review means
Correct Answer Interpreting the results to form a strategy

Multiple Choice Single Answer


Question The first steps to becoming a great manager are simply
Correct Answer Common sense

Select The Blank


Question Once the vision is identified it has to be illustrated with a concrete goal called ________
Correct Answer Mission

True/False
Question be adopted
Correct Answer True

Multiple Choice Single Answer


Question It gives a sense of accomplishment
Correct Answer Achievements

Multiple Choice Single Answer


Question The realisation of vision requires
Correct Answer Innovation

Multiple Choice Single Answer


Question Vision is the ability to see
Correct Answer Opportunity
118

True/False
Question Vision should be based on talents,dreams,hopes and passion.
Correct Answer True

Select The Blank


Question Goals keep our ________ straight
Correct Answer Priorities

Multiple Choice Multiple Answer


Question 98 out of 100 people are dissatisfied as
Correct Answer They have no goal , No purpose to drive them

Multiple Choice Single Answer


Question People tend to procrastinate when they feel that the work is
Correct Answer Unimportant

Select The Blank


Question Life is comprised of limited________
Correct Answer Time

Multiple Choice Multiple Answer


Question One is not able to time due to
Correct Answer Lack of discipline , Negative attitude

Multiple Choice Single Answer


Question "Barrier of Allness" is
Correct Answer Attitude of the communicatee that he knows everything

Multiple Choice Single Answer


Question Unjust assumptions are:
Correct Answer Misinterpretation of message

Select The Blank


Question Communication has come from Latin word________
Correct Answer Cummins

Select The Blank


Question Examples of environmental stress is ________
Correct Answer Humidity

Multiple Choice Multiple Answer


Question Channel is the
Correct Answer Method for delivering message , Medium for delivering message
119

Multiple Choice Multiple Answer


Question Physiological noise is in the form of
Correct Answer Hearing disorders , Illness ,Egotism

Multiple Choice Multiple Answer


Question Which of the following are physical barriers
Correct Answer Ignorance of media , Environmental stress , Subjective stress

True/False
Question Management can function smoothly without Communication
Correct Answer False

Match The Following


Question Correct Answer

Communicator Receiver

Environmental stress High temperature , humidity

Defensiveness Self justification

Know all attitude Barrier of allness

Match The Following


Question Correct Answer

Chronological context Time

Psychological noise Egotism, hostility

Hurried interpretations Snap reactions

Misunderstanding Unjust assumptions

Multiple Choice Single Answer


Question This is very important in the business world
Correct Answer Handshake

Select The Blank


Question Physical movement of arms, legs etc are known as ________
Correct Answer Gestures

True/False
Question Progress reports are formal in nature.
120

Correct Answer False

Select The Blank


Question Body of a letter is divided into ________ parts.
Correct Answer 3

Multiple Choice Multiple Answer


Question Wisdom lies in
Correct Answer Accepting your mistakes , Apologise but do not demand from others , Think over the
actions performed

True/False
Question Beginnings of uninvited proposals should be good as to interest the receiver.
Correct Answer True

True/False
Question Advancing at the expense of others may hurt you in the long run
Correct Answer True

Multiple Choice Single Answer


Question A report plays an important role as a
Correct Answer Vehicle of communication

Select The Blank


Question Hearing disorders or illness etc fall into the category of ________ noise
Correct Answer Physiological

Select The Blank


Question A slide should only carry ________ information
Correct Answer Important

Match The Following


Question Correct Answer

Pressures Limited vision

Keen foresight Power of imagination

Vision Visualize future

Positive changes Positive growth

True/False
Question Snap reaction is a type of physical barrier
121

Correct Answer False

Select The Blank


Question ________ normally consists of outward number and date of any previous correspondence.
Correct Answer Reference

Select The Blank


Question ________ is the index of heart
Correct Answer Face

Multiple Choice Multiple Answer


Question Goals need to be
Correct Answer Planned , Evaluated , Identified

Multiple Choice Single Answer


Question Which statement applies to a "Message" ?
Correct Answer The reply sent by the communicate

Multiple Choice Single Answer


Question Which statement applies to a "Message" ?
Correct Answer The encoded idea takes shape of the message

Multiple Choice Single Answer


Question The maximum content on the slide should be limited to
Correct Answer 25 words

Multiple Choice Single Answer


Question Positive changes in a person's life require
Correct Answer Personal growth

Select The Blank


Question We should learn to prevent stress from becoming________
Correct Answer Strain

True/False
Question Letter's close lacks the outgoing friendliness.
Correct Answer False

Multiple Choice Multiple Answer


Question Eyelids closed combined with constricted pupils tellus us that the person is
Correct Answer In pain , Angry

Multiple Choice Multiple Answer


Question Goal achievement leads to
122

Correct Answer Setting higher goals , Dream bigger goals

Multiple Choice Single Answer


Question What are the movements which play an important role in conveying meaning without words ?
Correct Answer Gestures

Multiple Choice Single Answer


Question It is similar to an ordinary store or shop, virtual trading
Correct Answer Electronic market

Multiple Choice Multiple Answer


Question Discussion is defined as
Correct Answer The interchange of ideas with a goal of finding the best solution to the problem , This is
positive and healthy

Multiple Choice Multiple Answer


Question Perspective is
Correct Answer The angle through which a person sees the circumstances , The ability to see the present
moment and immediate events against the background of a larger reference

True/False
Question Delegation is the special ability to recognise your own special abilities and limitations
Correct Answer False

Multiple Choice Single Answer


Question To complete work , one needs to start
Correct Answer Early

Select The Blank


Question The ________ context refers to the nature of relationship between the communication as well as
who is present
Correct Answer Social

Multiple Choice Single Answer


Question Successful people realise the value of
Correct Answer Time Management

True/False
Question Without defined goals success is attainable
Correct Answer False

Multiple Choice Multiple Answer


Question Ways to minimise or avoid interruption are
Correct Answer Work in blocks of time , Hire a secretary
123

Select The Blank


Question The best realtionship is one in which both the parties are constantly ________ from one another.
Correct Answer Receiving

Multiple Choice Single Answer


Question Guidelines for the use of visual aid
Correct Answer Stick or pointer to be used to draw audience attention

True/False
Question The potential for good relationship increase when we begin to focus on ourselves.
Correct Answer False

Select The Blank


Question ________ is the most remembered element in forming an impression of someone.
Correct Answer Eye contact

Multiple Choice Multiple Answer


Question What is B2B?
Correct Answer Activities conducted on this are higher than B2C by 15-20 times , It is business to business ,
It is an internet domain

Match The Following


Question Correct Answer

Visual aids Transparencies

Agreement Commitment

Interaction Interface

Memorized presentation Powerful memory

Select The Blank


Question A transparency should have________lines
Correct Answer 25-30

True/False
Question Report plays an important role as a vehicle of communication.
Correct Answer True

Select The Blank


Question Our________ has the potential to limit us.
Correct Answer Past
124

True/False
Question Vision is an idea about how your present should be
Correct Answer True

True/False
Question One year of our life is lost searching things
Correct Answer True

True/False
Question Communication is not a continuous process
Correct Answer False

Multiple Choice Single Answer


Question The most visible part of face to face communication is
Correct Answer Body language

True/False
Question Policies and directives are more formal than other internal communication.
Correct Answer True

Select The Blank


Question A successful employer is one who shows ________ to his employees.
Correct Answer Compassion

Select The Blank


Question Goals help us to ________
Correct Answer Communicate

Multiple Choice Single Answer


Question Where is outward number written?
Correct Answer Left side of the letter

True/False
Question The inside address of the letter and the address on the envelope are different.
Correct Answer False

Select The Blank


Question All dreams have a ________
Correct Answer Cost

Multiple Choice Single Answer


Question Vision brings greater benefits and opens incredible doors of
Correct Answer Opportunity
125

Multiple Choice Single Answer


Question 30% of all worries are about past decisions that
Correct Answer Cannot be changed

Match The Following


Question Correct Answer

People asset of the company

Credibility Consistence

Discussion healthy and positive

Argument brings in negative feelings

Multiple Choice Multiple Answer


Question Some of the strategies to prevent stress from becoming distress are
Correct Answer Develop proper perspective , Work in areas of strength , Avoid ratrace

Multiple Choice Single Answer


Question "Communication is an exchange of facts,ideas,opinions,emotions by two or more persons." It is
quoted by :
Correct Answer Newman and Summer

Select The Blank


Question A ________ is a guiding principle for the decisions and actions of the group
Correct Answer Vision

Multiple Choice Single Answer


Question Subject contains
Correct Answer Objectives of the letter at a glance

Select The Blank


Question The only way to avoid situations like unexpected delay is to ________
Correct Answer Plan

Multiple Choice Multiple Answer


Question Time management is
Correct Answer Using time judiciously , Using time carefully and prioritising it

Multiple Choice Multiple Answer


Question Factors important to successful negotiation are
126

Correct Answer Trust/distrust between the parties , Each part to be communicated clearly between parties ,
Goals and interest of the parties

True/False
Question Advertising materials like leaflets,giveaways,labels are included in house journals.
Correct Answer False

Select The Blank


Question Right thinking creates a foundation for ________
Correct Answer Success

Select The Blank


Question ________ conveys crucial message about power, status and concern for the person we meet
Correct Answer Handshake

True/False
Question In face to face settings people are simultaneously senders and receivers of information
Correct Answer True

True/False
Question A goal which is not measurable increases motivation
Correct Answer False

True/False
Question Relationships have to be mutually beneficial and healthy to both the parties.
Correct Answer True

Select The Blank


Question Goals organise the ideas that we have for our________
Correct Answer Future

Multiple Choice Multiple Answer


Question Memorandum differs from letter in
Correct Answer Memos are written in direct order than letters , In memos effect of words is not so
important as letters

Multiple Choice Multiple Answer


Question A head drawn too far backwards or stiffly held straight up indicates
Correct Answer Pride , Haughtiness

Select The Blank


Question The ________ should indicate what is contained in a message in one glance itself.
Correct Answer Subject
127

Multiple Choice Multiple Answer


Question Essential parts of business letters would be
Correct Answer Head address , Date , Outward number

Multiple Choice Multiple Answer


Question Examples of salutations would be
Correct Answer Dear sir , Respected Sir

Multiple Choice Multiple Answer


Question Examples for complimentary close would be
Correct Answer Yours truly , Yours faithfully

Multiple Choice Multiple Answer


Question Tools of planning are
Correct Answer Franklin planner , Day runner , Day times

Select The Blank


Question Encoded ideas take the shape of ________
Correct Answer Message

Multiple Choice Multiple Answer


Question Ways to overcome laziness are
Correct Answer Using planner , Work away from home , Start early

Select The Blank


Question Written communication should be ________ to understand.
Correct Answer Easy

Multiple Choice Multiple Answer


Question Methods of presentation can be
Correct Answer Reading , Memorising presentation

Multiple Choice Single Answer


Question What is the most important part of any letter?
Correct Answer Body

Multiple Choice Single Answer


Question Motivation is :
Correct Answer Encouraging

True/False
Question It is not necessary to admit error when we are wrong
Correct Answer False
128

Multiple Choice Single Answer


Question It consists of the name and address of the person to whom the letter is being sent
Correct Answer Inside address

Multiple Choice Single Answer


Question Facial muscle is an instrument of
Correct Answer Communication

Match The Following


Question Correct Answer

Fear of risk Cause of stress

Stress Positive and negative

Strain Continuous stress

Conviction Strong beliefs

Multiple Choice Single Answer


Question Brief eye contact means the person is
Correct Answer Nervous

True/False
Question Written communication is a two way process.
Correct Answer False

Select The Blank


Question A ________ is the core of business communication as it is an action oriented affair.
Correct Answer Feedback

True/False
Question All kinds of stress are negative
Correct Answer False

Select The Blank


Question No one can achieve his dreams with ________ energy and ideas.
Correct Answer Average

Multiple Choice Multiple Answer


Question People who do not have theit vision try to tell that your vision is
Correct Answer Impossible , Not achievable

Multiple Choice Single Answer


129

Question Which factor mostly affects business decisions


Correct Answer Information

Match The Following


Question Correct Answer

Inward address Receivers address

Head Address Senders Address

Written Communication Non- Direct communication

Business letter legal evidence

Outward Number Further reference

Multiple Choice Single Answer


Question One of the most important characteristic of successful manager is that of
Correct Answer Vision

Multiple Choice Single Answer


Question The most important difference between two competitors dealing with the same product is the way
they treat their
Correct Answer Employees

Multiple Choice Multiple Answer


Question What is an attitude of Allness ?
Correct Answer Sophisticated role , Snap reactions , Fear

Multiple Choice Single Answer


Question Where is inside address written?
Correct Answer Below the outward number

Multiple Choice Single Answer


Question What type of communication can be used as a legal record which may be used in the court of law
?
Correct Answer Written

Multiple Choice Multiple Answer


Question What is progress report?
Correct Answer It is a review of progress made on an activity , They may be formal or informal

True/False
Question All companies use printed memorandum stationary for processing memorandum.
130

Correct Answer False

Multiple Choice Multiple Answer


Question Policy memorandums and directives are
Correct Answer Messages which give work rules,procedures,instructions etc , Covers important
information

Multiple Choice Single Answer


Question Snap reactions, Apathetic listener and Defensiveness are types of
Correct Answer Psychological barrier

True/False
Question Printing house journals maintain public relations within the organisation.
Correct Answer True

Multiple Choice Multiple Answer


Question A person without vision sees what is
Correct Answer Convenient , Immediate

Select The Blank


Question Lack of ________ causes stagnation and inertia
Correct Answer Flexibility

Multiple Choice Single Answer


Question If a person taps his feet/foot it would mean
Correct Answer Impatience

Multiple Choice Multiple Answer


Question Guides for the manager to analyse the problem and give response
Correct Answer Experience , Common sense

Multiple Choice Single Answer


Question Time management is
Correct Answer Self management

Multiple Choice Single Answer


Question What type of records are permanent for organisation?
Correct Answer Business letters

Match The Following


Question Correct Answer

Body recognises the stressor and prepares to fight Alarm stage


131

Work hard Not at the cost of family or health

Stop taking on more work To get rid of overload

Deeper coviction Stronger the person

Multiple Choice Single Answer


Question End part of presentation contains
Correct Answer Summary of the whole

Multiple Choice Single Answer


Question To deveolp a win-win situation during communication , one should have
Correct Answer Discussions

Select The Blank


Question ________ is doing yesterday's work today
Correct Answer Procrastination

True/False
Question The shortcomings of oral communication has paved the way for use of written communication.
Correct Answer True

Multiple Choice Single Answer


Question What is meant by "Apathetic Listener"?
Correct Answer Communicatee has an attitude of closed mind

Multiple Choice Single Answer


Question What is meant by "Apathetic Listener"?
Correct Answer Receiver is psychologically dead to communicator

Select The Blank


Question Communication is the task of imparting ________
Correct Answer Information

Multiple Choice Multiple Answer


Question What is staff report?
Correct Answer It is a popular form of report , It differs from others in its organisation of its contents , It
arranges content in a fixed plan

True/False
Question House journals are used by organisations for public circulation.
Correct Answer False

Select The Blank


132

Question The best way in a positive relationship is to admit when you are ________.
Correct Answer Wrong

Multiple Choice Single Answer


Question To build a positive reputation among people, one has to take care of
Correct Answer Relationships

Multiple Choice Multiple Answer


Question Following are the functions of Manager
Correct Answer Planning , Organising , Staffing

Select The Blank


Question ________ is an example of psychological noise
Correct Answer Egotism

Multiple Choice Single Answer


Question Man always tries to justify himself that means he is
Correct Answer Defensive

Select The Blank


Question ________ is vital for manager to take decisions
Correct Answer Information

True/False
Question Inside address consists of the name and address of the sender.
Correct Answer False

Match The Following


Question Correct Answer

Memorandum Memo

Proposals Invited

Subject Objective of letter

Salutation greeting

Post Script Post Scriptum

Select The Blank


Question Man who tries to justify himself is________
Correct Answer Defensive
133

True/False
Question Goals force us to plan ahead
Correct Answer True

Select The Blank


Question When people don't know whether to believe what they are hearing or what they are seeing they
go with the ________
Correct Answer Body language

Multiple Choice Single Answer


Question The complimentary close is to say
Correct Answer Good bye

Multiple Choice Multiple Answer


Question Personal negative emotions which make it difficult to do our best are
Correct Answer Jealousy , Anger , Strife

Multiple Choice Single Answer


Question In business communication you can put the message in writing as
Correct Answer Options a and b

Multiple Choice Single Answer


Question Address means
Correct Answer How a person speaks to others

Multiple Choice Single Answer


Question Any signal that triggers the response of a receiver
Correct Answer Message

Select The Blank


Question The ________ is written as a formality in the body of the letter.
Correct Answer Closing paragraph

Multiple Choice Single Answer


Question It is the limited area on the web managed and paid for by an external advertiser or company
Correct Answer Micro site

Multiple Choice Single Answer


Question Appearance includes
Correct Answer Hair, cosmetics

Multiple Choice Multiple Answer


Question A person without vision sees
Correct Answer What is immediate , What is convenient
134

Multiple Choice Multiple Answer


Question Communication is a process of which type
Correct Answer Ir-reversible , Two way

Select The Blank


Question A ________ posture shows rigidity in thought
Correct Answer Stiff

Select The Blank


Question ________is the positive enthusiasm for making the work exciting and fun
Correct Answer Verve

True/False
Question Written communication is two-way process
Correct Answer False

True/False
Question House journals are types of oral communication
Correct Answer False

Multiple Choice Multiple Answer


Question Stress at times works
Correct Answer As motivator , As positive

True/False
Question One way communication informs the receiver whereas two way communication is an exchange of
information
Correct Answer True

Multiple Choice Single Answer


Question What is meant by "Snap Reactions"
Correct Answer Hurried interpretations about the message being communicated

True/False
Question By trying to identify potential problems at the onset, it becomes possible to prevent many more in
near future
Correct Answer True

Select The Blank


Question The ________ number is essential to make entry in the register.
Correct Answer Outward

True/False
135

Question Poor working condition of microphone, telephone etc are types of psychological barriers
Correct Answer False

Multiple Choice Single Answer


Question How we see failure is entirely a function of our
Correct Answer Attitude

Multiple Choice Multiple Answer


Question The matter in the memorandum may include
Correct Answer Procedures , Rules , Instructions

Multiple Choice Single Answer


Question This results in one person winning and the other losing
Correct Answer Arguments

Multiple Choice Single Answer


Question People are drawn to others naturally who
Correct Answer Help them

Multiple Choice Multiple Answer


Question Ectomorph means
Correct Answer Tall , Thin , Youthful

Multiple Choice Multiple Answer


Question The three step plans which will put our priorities into practice are
Correct Answer Evaluate , Eliminate , Estimate

Select The Blank


Question During negotiation one needs to control________
Correct Answer Emotions

Multiple Choice Single Answer


Question Ability to allow a person to develop a good relationship is
Correct Answer Learned

Match The Following


Question Correct Answer

Preoccupation Day dreaming

Negative emotion Defensiveness

Emotional turmoil Emotions at stake


136

Procrastination Delaying work

Match The Following


Question Correct Answer

Unsuccessul They confuse activity to output

Practical person He knows how to get what he wants

Philosopher He knows what people ought to want

Goals It promotes enthusiasm in the organisation

Multiple Choice Multiple Answer


Question Various kinds of disease caused from stress
Correct Answer Heartbeat increase , Increase in perspiration , Slow digestion

Multiple Choice Multiple Answer


Question Argument means
Correct Answer Forcing your view point on others , Forceful attempt to change other's point of view

Multiple Choice Single Answer


Question It can be kept as a legal record
Correct Answer Written

True/False
Question you have risen in management structure
Correct Answer True

Multiple Choice Single Answer


Question The trump card during negotiation should be brought out at
Correct Answer At the crucial moment

Multiple Choice Multiple Answer


Question In order to realise new things one should
Correct Answer Be observant , Be willing to do new things , Look for ideas

Select The Blank


Question In a letter________ consists of name and address of the person or organisation to whom the letter
is being sent to.
Correct Answer Inside address

Multiple Choice Multiple Answer


Question Information is
137

Correct Answer Gathered , Inferred , Heard

Multiple Choice Single Answer


Question Advantage of written communication is
Correct Answer Can be kept as a legal record

Multiple Choice Multiple Answer


Question What are macros?
Correct Answer It is a word processing feature , It formats the document

True/False
Question A report is made after thorough enquiry.
Correct Answer True

Multiple Choice Single Answer


Question It is the most convenient channel used by companies to increase sales revenue,reducing cost of
selling and promote customer satisfaction
Correct Answer Telecommunication

Select The Blank


Question Outer confidence will bring ________confidence.
Correct Answer Inner

Multiple Choice Single Answer


Question When we cross our legs or fold our arms across our chest while we talk, it would indicate that
Correct Answer Closing off communication

Select The Blank


Question People who focus their attention on ________ rarely build positive lasting relationships.
Correct Answer Themselves

Multiple Choice Multiple Answer


Question The areas which help you to develop a mindset are
Correct Answer Crystallize thinking , Develop sincere desire , Confidence

Select The Blank


Question ________ is a driving force and continues even after the mission statement is achieved
Correct Answer Vision

Select The Blank


Question ________ are used to convey the key part of the message
Correct Answer Visual aids

Multiple Choice Single Answer


138

Question Body of the letter consists of


Correct Answer Main message

Multiple Choice Single Answer


Question One should look at the present with the eye towards
Correct Answer Future

Select The Blank


Question Memorandums are ________ letters.
Correct Answer Internal

Multiple Choice Multiple Answer


Question Memo is
Correct Answer It is an inter office communication , It is a routine type of communication , They are direct
written messages

Multiple Choice Single Answer


Question Most of what we experience emotionally is a result of the way we
Correct Answer Think

True/False
Question Successful people employ a strategy of priorities to manage their time
Correct Answer True

Multiple Choice Single Answer


Question It is the most important part of any letter
Correct Answer Body

Multiple Choice Multiple Answer


Question Mesomorph would mean
Correct Answer Strong , Muscular , Bony

Multiple Choice Multiple Answer


Question Taking advantage of others
Correct Answer Does no good in the long run , It is not a sign of good and positive relationship

Multiple Choice Single Answer


Question A presentation for consideration of something is called
Correct Answer Proposal

Multiple Choice Multiple Answer


Question Resting your forearm on the table gives the impression of being
Correct Answer Distressed , Uninterested , Indifferent
139

Multiple Choice Multiple Answer


Question In less literal terms Vision is the ability to
Correct Answer Read between the lines , See opportunity

Select The Blank


Question ________ of the letter consists of main message.
Correct Answer Body

Multiple Choice Single Answer


Question The heading should be followed by number of names that are to receive the message in
Correct Answer Memo

True/False
Question Fat , round and soft body type would be endomorph
Correct Answer True

Multiple Choice Single Answer


Question The role of audio visual aids in presentations help in overcoming
Correct Answer Physical barrier

True/False
Question WWW is an electronic brochure for an organisation.
Correct Answer True

True/False
Question Charts,Film slides,transparencies are types of audio aids
Correct Answer True

Multiple Choice Multiple Answer


Question The body of the letter may be divided into
Correct Answer Opening Para , Main communication , Closing paragraph

Select The Blank


Question Social scientist uses the term ________ to describe a wide range of ________ characteristics, each
of which helps express an attitude.
Correct Answer Paralanguage
Correct Answer Vocal

True/False
Question When you become a manger you can change things anddo things differently
Correct Answer True

Multiple Choice Multiple Answer


Question The importance of reports can be stated as under
140

Correct Answer Decision making , Performance evaluation

Multiple Choice Multiple Answer


Question Some of the functions of informal communication are
Correct Answer Supplementing , Contradicting , Confirming

Multiple Choice Multiple Answer


Question The different types of downward communication are
Correct Answer Job instructions , Indoctrination , Feedback information

True/False
Question Post Scripts should be used very frequently in letters
Correct Answer False

Select The Blank


Question Attractive ________ are used to improve the ________ of the organization
Correct Answer advertisements
Correct Answer sales

True/False
Question Face-to-face communication is the richest type of communication channel
Correct Answer True

Multiple Choice Multiple Answer


Question Grapevine becomes hyperactive when the following factors prevail
Correct Answer Feeling of certainty , Feeling of adequacy

Multiple Choice Single Answer


Question Various body movements supplement it
Correct Answer Talking

Multiple Choice Multiple Answer


Question The first step for setting goals is
Correct Answer Identify your vision , Develop statement of purpose , Evaluate plans

Select The Blank


Question When there comes opposition to your vision be ________ and try to have an unsinkable
________ attitude.
Correct Answer prepared
Correct Answer positive

Select The Blank


Question People normally view future ________ by past successes or ________.
Correct Answer possibilities
141

Correct Answer failures

Select The Blank


Question The ________ of our relationships with our boss, co-workers etc. are largely ________ for our
success or failure in business.
Correct Answer quality
Correct Answer responsible

Multiple Choice Single Answer


Question Informal meeting
Correct Answer Options b and c

Multiple Choice Single Answer


Question These are the things you desire to accomplish in five to ten years
Correct Answer Intermediate goals

Multiple Choice Single Answer


Question Effective communication is dependent on
Correct Answer Knowledge of receiver

Select The Blank


Question The minutes help to hold participants to their ________ and turn their promises into ________.
Correct Answer responsibility
Correct Answer action

True/False
Question Goal setting is a one time activity
Correct Answer False

True/False
Question In the resistance stage your body prepares for the stressor and prepares to fight or flight
Correct Answer False

Multiple Choice Single Answer


Question The biggest most valuable asset any company has is its
Correct Answer People

Multiple Choice Single Answer


Question This technology replaces face-to-face meetings by allowing individuals to work on documents
that are shared via computer
Correct Answer Document of computer conferencing

Multiple Choice Single Answer


Question A manager should take a
142

Correct Answer Long term view

True/False
Question Human body reacts to stress in 3 stages
Correct Answer True

Multiple Choice Multiple Answer


Question These always boost the morale of the workers
Correct Answer Discussions , Training , Meeting

Multiple Choice Single Answer


Question The list of items that is to be covered to achieve the goals of the meetings
Correct Answer Agenda

Multiple Choice Multiple Answer


Question The Head address includes
Correct Answer Tel no. , Name of organization

Match The Following


Question Correct Answer

Body language is the most visible Aspect of communication


and therefore helps the receiver of the message to decode the message

Since body language is non- Verbal communication it cannot be wholly relied on

People belonging to different Culture send out different body signals

True/False
Question Upward communication is communication from superior to subordinates
Correct Answer False

Multiple Choice Single Answer


Question Goals can be identified by
Correct Answer Options b and c

Select The Blank


Question It is possible to ________ the business of organizations by sending business ________; it also
helps in promoting sales of the organization.
Correct Answer increase
Correct Answer letters

Multiple Choice Multiple Answer


Question If the eye contact is brief or we take our eyes off the person soon indicates
143

Correct Answer Nervousness , Embarrassment

Multiple Choice Single Answer


Question B2B
Correct Answer Business to Business

Multiple Choice Single Answer


Question The pattern of busines letter is called
Correct Answer Layout

True/False
Question The formality requirement of proposals are always the same.
Correct Answer False

Multiple Choice Single Answer


Question Printing of house journal responsibility generally lies with the
Correct Answer Human resource department

Multiple Choice Single Answer


Question It can be created by using templates or macros
Correct Answer Memorandum

Multiple Choice Single Answer


Question The middle part of presentation contains
Correct Answer Main body is broken into points

Multiple Choice Single Answer


Question Message in a communication should be
Correct Answer Brief

Select The Blank


Question To prevent stress one should develop a proper ________
Correct Answer Perspective

Select The Blank


Question Whatever we feel deep within ourselves is immediately reflected in the ________
Correct Answer Face

True/False
Question Memorandums do not require preliminary explanation , justification and persuasive strategy.
Correct Answer True

True/False
Question The whole concept of achieving success begins with how you think
144

Correct Answer True

Match The Following


Question Correct Answer

Effective communication is dependent on the knowledge level of the receiver

Two way communication establishes and builds lasting relationships

Feedback message the core part of business communication which is an action oriented affair

Oneway communication it infoms the receiver

Multiple Choice Multiple Answer


Question Endomorph would mean
Correct Answer Fat , Round , Soft

Multiple Choice Single Answer


Question What is " Content message"?
Correct Answer Information about topic under discussion

True/False
Question Success is achieved by men and women of caution.
Correct Answer False

Multiple Choice Multiple Answer


Question Mechanical barriers in communication includes
Correct Answer Bad telephone connection , Whistling loudspeakers

Multiple Choice Multiple Answer


Question Areas where we can set goals are
Correct Answer Personal development , Physical development , Professional accomplishment

Match The Following


Question Correct Answer

People The average executive spends 3/4 day dealing with them

Learned It is the ability that allows a peson to develop good relations

Mutually beneficial Relationships are positive and healthy due to this

Multiple Choice Single Answer


Question In India we use which method for writing the date
145

Correct Answer British

Multiple Choice Multiple Answer


Question House journals
Correct Answer It’s a private circulation in the organisation , It contains details regarding achievements
of staff , It contains details about achievement of company's future projects etc

True/False
Question If a person tries to keep all his options open while pursuing his vision he will not make
progress.
Correct Answer True

True/False
Question The simplest proposal resembles memorandum.
Correct Answer True

Select The Blank


Question We should learn to prevent stress from becoming ________
Correct Answer Distress

Select The Blank


Question Stress is called the mother of ________
Correct Answer Achievements

True/False
Question Manager communicates the vision of the company to his team mates
Correct Answer True

True/False
Question Goals promote enthusiasm in an organisation
Correct Answer True

True/False
Question There will be confusion and discomfort if speech and gestures are properly coordinated
Correct Answer False

Multiple Choice Single Answer


Question What type of letters are useful in collecting dues from customer?
Correct Answer Business letters

Multiple Choice Single Answer


Question Stress becomes strain when it is
Correct Answer Continuous
146

Multiple Choice Multiple Answer


Question The vision should be based on
Correct Answer Talents and dreams ,Hopes and passion

Multiple Choice Single Answer


Question The most valuable asset of a company is
Correct Answer People

Multiple Choice Multiple Answer


Question The different kinds of stress are :-
Correct Answer Positive , Negative , Unavoidable

Multiple Choice Multiple Answer


Question Agenda is prepared by :-
Correct Answer Secretary , Chairman

Match The Following


Question Correct Answer

The handshake that conveys confidence is Firm and dry

Pounding the fist on table Anger

Kind of non verbal communication Eye contact

Clothing , hair, jewellery, cosmetics Appearance

Select The Blank


Question The first and foremost function of a presentation is to convey ________.
Correct Answer Information

Multiple Choice Single Answer


Question Every moment you waste in pre-occupation is a moment you steal from :-
Correct Answer Productivity

Multiple Choice Multiple Answer


Question As per Newman and Summer Communication is the Exchange of :-
Correct Answer Facts , Opinion , Emotions

True/False
Question In business organizations barriers arise because of setup.
Correct Answer True

Multiple Choice Single Answer


147

Question Instant Messaging (IM) is :-


Correct Answer The real time communication that takes place among users who are logged on to the
computer at the same time

Select The Blank


Question Written communication is not useful where the people are________.
Correct Answer Illiterate

Multiple Choice Multiple Answer


Question Goals give us a sense of :-
Correct Answer Purpose , Tangible target

Multiple Choice Multiple Answer


Question When there is lack of perspective, one should :-
Correct Answer See things from a different point of view , Look at the present with an eye towards future ,
Study other cultures

Multiple Choice Single Answer


Question Time limits of the meeting should be announced at the :-
Correct Answer Beginning

Multiple Choice Single Answer


Question "Defensiveness" means :-
Correct Answer Receiver trying to justify himself

True/False
Question Mission must be tough but achievable and must be possible to tell when it has been achieved.
Correct Answer True

True/False
Question Feedback is immediate in business organization.
Correct Answer True

Multiple Choice Multiple Answer


Question What are the principles of Effective communication ?
Correct Answer Clarity of objective , Selection of media , Feedback

Multiple Choice Single Answer


Question What percentage of managerial time is spent on communication ?
Correct Answer 61 to 75%

Multiple Choice Multiple Answer


Question Body language refers to :-
Correct Answer Gestures , Facial expressions , Body movements
148

True/False
Question No visual aid should be kept on for too long.
Correct Answer True

Select The Blank


Question The ________ body of the presentation should be broken into short and clear units.
Correct Answer Main

Multiple Choice Single Answer


Question Public relations is maintained by printing :-
Correct Answer House journals

Select The Blank


Question Quality of ________ determines the success of the meeting.
Correct Answer Communication

Select The Blank


Question In a letter________ consists of name and address of the person or organization to whom the letter
is being sent to.
Correct Answer Inside address

Select The Blank


Question In the body of the message________ paragraph attracts the attention of the reader.
Correct Answer Opening

Select The Blank


Question A ________ communication establishes and builds lasting relationships between people.
Correct Answer Two way

True/False
Question Vision has nothing to do with prediction but everything to do with hope.
Correct Answer True

True/False
Question Technical language should not be used while writing the minutes of the meeting.
Correct Answer True

Multiple Choice Multiple Answer


Question Inside address contains :-
Correct Answer Name, address, telephone number of the receiver of the letter , The address which is put
on the envelope

Multiple Choice Multiple Answer


149

Question Types of written communication are :-


Correct Answer Letters , Memos , Reports

Multiple Choice Single Answer


Question The first step to become a great manager is to have :-
Correct Answer Common sense

True/False
Question Delegation is the special ability to recognize your own special abilities and limitations.
Correct Answer True

True/False
Question One party is more than enough to have negotiation.
Correct Answer False

Multiple Choice Multiple Answer


Question Ways to deal with procrastination effectively are :-
Correct Answer Delegate task to others , Develop discipline , Determine whether given task is absolutely
necessary

Multiple Choice Multiple Answer


Question The broad purpose of a meeting is to :-
Correct Answer Inform , Persuade , Instruct

Multiple Choice Single Answer


Question Communication is a :-
Correct Answer Continuous process

Multiple Choice Multiple Answer


Question Which kind of attitude lets you see limitless opportunities around you?
Correct Answer Positive mental attitude , Determination to overcome failure

TO BE ANSWERED

A manager acts as a protector for his team


True / False

This is like the warehouse in electronic market


a) Web page
b) Server
c) Website
d) Catalogue
150

Visual aids are used to emphasize the most vital points of the presentation
True / False

Strong Self-Management Competence' means


a) You are principled
b) You are focussed on results
c) You are selective in what you do
d) You are liberator of ideas

A person tends to break another person's trust when


a) The person is inconsistent
b) His words and action do not match
c) He loses credibility
d) He is insane

The goal pyramid is made of six sections


True / False

It makes communication easier


a) Being friendly
b) Arrogant
c) Cooperative
d) Angry

The largest single cost in most businesses is Premises / Assets / Infrastructure / People

Tension / Stress / Strain / Distress can prompt people to find a better way of doing things

1. Physical noise helps to complete the communication cycle


2. Noise and communication are two sides of the same coin
3. Relational Message One of the greatest sources of communication failure
4. Motivation means to convince others
The external sounds that distract the comunicator
It indicates how sender and receiver feel about each other

The most important function of the manager is


a) Instructing
b) Motivating
c) Leading
d) Supervising

When there is lack of perspective one should


a) See things from a different point of view
b) Look at the present with an eye towards future
151

c) Study Geography
d) Study other cultures

What should go together ?


a) Gesture and speech
b) Gesture and expression
c) Gesture and movement
d) Gesture and Behaviour

What are the principles of Effective communication ?


a) Clarity of objective
b) Selection of media
c) Feedback
d) Noise

Vision is the ability to see future in a


a) Mystical way
b) Prophetic way
c) Imaginative way
d) Practical way

Only 8 / 5 / 20 / 10 percent of worries are considered as cause of concern

What is said to be the heart of a business letter?


a) Subject
b) Head address
c) Body of the letter
d) Enclosures

Risk Second stage of stress


Resistance stage Repairs damage
Diseases of stress Threat
Alarm stage Mental illness
First stage of stress
Third stage

Working away from home makes it easier to focus on our job


True / False

This is a letter written inside the organisation?


a) Reports
b) Audit report
c) Memorandum
d) Application
152

Visual aids should be well fitted in the presentation


True / False

When stress becomes Less / Strain / Tension / More it is harmful

prevent stress one should develop a proper Way Perspective Perception Vision

Many speakers write and learn entire speeches in Writing Extempore Reading Memorize type of
presentation

Often the desire to meet a need can fuel a


Vision
Business
Communication
Understanding

Mission of an organisation should be easily achievable


True
False

A common fallacy about manager is that he must be


Loud
Flambuoyant
Drinker
Quiet and modest

Status manifests itself subtly in a relaxed posture and way of interacting


True
False

Feedback is immediate in busines organization


True
False

Vision is a nebulous thing which is


hard to pin down
Hard to define
difficult to communicate
at times impractical

Different types of memorandums would be


Direct memo
Parallel memo
153

Indirect
Linear memo

Meeting should be carried on as long as required for discussion.


True /False

Projective listener is :-
He gives time and patience to listen to speaker
He tries to probe the feelings and emotions of the speaker
He tries to positively understand the views of speaker
The listener does not show interest in the subject with a preconceived notion that it is difficult to understand

Intimate distance is rarely appropriate in business dealings.


True /False

A high score in Systematic Problem-Solving Process indicates :-


You are analytical
You are focused on results
You are selective in what you do
You are liberator of ideas

What is projection?
It is the way in which we individually interpret messages from other people or resources
It is a process in which a general impression which is favourable or unfavourable is used by judges to evaluate
specific traits
It is tending to attribute one's own undesirable personal traits to another.
It is generalising about a class or people or events that is widely held by a given culture.

The official record of the proceedings and decision of the meeting is called Agenda/ Review/ Minutes/
Summary.

Emphatic/ Fake/ Projective/ Sympathetic is also called listening by third ear.

1. Minutes are written soon after the meeting so that 1. Clarify and not to puzzle the reader
2. Minutes of a meeting are a proof that it took place 2. Strives for agreement, controls men and time
3. Minutes of a meeting should be 3. It helps to hold participants to their promises
4. The aim of minutes of a meeting is to 4. Uphold correct procedure, strive for agreement and
minimize conflict between group members
5. Events are fresh in the mind and acts as a future reference
6. Clear and objective

Prescience means :-
Knowledge of the past
Knowledge about the future
154

Knowledge of external events


Knowledge of events within the company

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