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Which of the following is false? An offer to be valid must: a. Intend to create legal relations. b. Have certain & unambiguous terms. c. Contain a term the non-compliance of which would amount to acceptance. d. Be communicated to the person to whom it is made. Which of the following is false? an acceptance; a. Must be communicated. c. Must be accepted by a person having authority to accept. b. Must be absolute and unconditional d. May be presumed from silence of offeree.

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A proposal when accepted becomes a a. Promise. b. Contract. c. Offer. d. Acceptance. 4. An offer may lapse by: a. Revocation b. Counter Offer, c. Rejection of Offer by Offeree. d. All of these. 5. Cross Offers means a. Exchanging identical offers by two parties in ignorance. b. Offer made to the public in general. c. Offer allowed to remain open for acceptance over a period of time. d. Offer made to a definite person. 6. Which of the following offers constitute a valid offer? a. An auctioneer displays a TV set before a gathering in an auction sale. b. Ram who is in possession of three cars purchased in different years says 'I will sell you a car'. c. A says to B, "Will you purchase my motor cycle for Rs. 20,000? d. All of the above. 7. When the offeree offers to qualified acceptance of the offer subject to modifications and variations he is said to have made a _______. a. Standing, open or continuing offer b. Counter Offer c. Cross Offer. d. Special Offer 8. A enquires from B, "Will you purchase my cow for $ 100?" B replies, "I shall purchase your cow for $ 100 provided you purchase my parrot for $ 120." In this case __________ . a. B has accepted the offer of A b. B has made a counter offer to A c. A is bound by the actions of B d. B cannot make such an offer 9. Which one of the offers is a valid offer? a. A garment store gave the following advertisement in a newspaper - "Special sale for tomorrow only. Men's night suits reduced from Rs.200toRs.100." b. P says to Q, "I will sell you a digital camera." P owns three different types of digital cameras of various prices. c. An auctioneer displays a refrigerator before a gathering in an auction sale. d. A advertises in a leading daily newspaper that he would pay Rs. 2000 to anyone who finds and returns his lost dog. 10. An offer should be distinguished from ______ . a. Invitation to treat an offer b. Mere communication of information in the course of negotiation c. Statement of intention d. All of the above
3. 11. An offer made to the public in general which anyone can accept and do the desired act is ______-______ .

a.

General Offer

b. Special Offer

c. Cross Offer

d. Counter Offer

12. The communication of an acceptance is complete as against the acceptor, _________. a. When it is put in course of transmission to him so as to be out of reach of the acceptor. b. When it comes to the knowledge of the proposer c. When both the proposer and the acceptor declare the acceptance d. When the acceptor accepts his acceptance in a court of law 13. A proposal may be revoked in the following ways: a. By notice of revocation. B. By lapse of time. C. By death or insanity. d . All of the above. 14. A proposes by letter, to sell a house to 6 at a certain price. A revokes his proposal by telegram. The revocation is

complete as when __________. a. A writes the telegram but the same has not been sent to B c. B receives the telegram

against b. A dispatches the telegram d. B responds to the telegram

15. When two parties exchange identical offers in ignorance at the time of each other's offer, the offers are called . a. Standing Offer b. Open Offer c. Identical Offers d. Cross Offer 16. Arun had deposited a bag in the cloak room of a railway station by paying Rs.650/-.On the face of the ticket, issued to

him. Were inscribed "see reverse for terms & conditions". Clause 10 of the printed Terms & Conditions limited the liability of the company for loss of a baggage to Rs.100/-. The bag was lost and Arun claimed Rs.650/-as its value. a. Arun was not bound by the conditions on the back of the ticket as he had not read them at all.

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34. 35.

b. Arun was bound by the conditions on the back of the ticket even if he had not read them. c. Arun was not bound by the conditions on the back of the ticket as his claim was 13 times more than the compensation offered to him by the railway company. d. Arun was bound by the conditions on the back of the ticket as he had not read them in full. An offer may be made to the following a. a particular person b. a particular group or body of persons c. The public at large i.e the whole world d. All of the above An offer made to a definite person which can be accepted by the specified 67 person only is a. Specific offer b. Accepted Offer c. General Offer d. Standing Offer X proposes by a letter sent by post to sell his house to Y. Y accepts the proposal by a letter sent by post. The letter of acceptance is in the course of transmission to X. Y _________. a. Cannot revoke his acceptance b. May revoke his acceptance at any time before the letter communicating the acceptance reaches X but not afterwards c. May revoke his acceptance at any time after the letter communicating the acceptance reaches X d. Can revoke only after the prior approval of X Tender for supply of goods is an offer, which is allowed to remain open for acceptance over a period of time. Such offers are . a. Cross Offer b. General Offer c. Standing Offer d. Unlimited Offer An auctioneer in Mumbai advertised in a newspaper that a sale of office furniture would be held on December 23, 2005 a broker came from Hyderabad to attend the auction, but all the furniture was withdrawn. The broker from Hyderabad sued the auctioneer for loss of his time and expenses. Which of the following statement(s) is correct? a. The broker can get damages from the auctioneer for loss of his time B and expenses. b. The broker will not get damages from the auctioneer for loss of his time and expenses. c. An invitation to make offer is a valid offer. d. A declaration of intention by a person will give right of action to another. Standing offer means a. Offer allowed to remain open b. Offer made to public in general c. When the offeree offers to qualified acceptance of the offer d. Offer made to a definite person An offer to be valid must a. Be communicated to the person to whom it is made b. Be communicated to the third party c. Be communicated to the promisor d. Be communicated to the agent. A valid offer must be ________ a. Capable of creating legal relation b. Capable of creating social relation c. Capable of creating business relation d. Capable of creating social and business relation An acceptance must be ________ c. Absolute and unqualified b. Conditional c. Unconditional d. Liable to be accepted by law Where two parties make identical offers to each other, in ignorance of each other's offer, the offers are known as _____ c. Cross - offers b. An agreements c. Contracts d. Promises In the case of specific offer, it can be accepted only a. by the person to whom it is made b. by third party c. by the stranger d. by legal heir Acceptance in ignorance of the offer is ________ c. Valid b. Invalid c. Void d. Voidable Communication of proposal is complete when it comes to the knowledge of c. The proposer b. The person to whom it is made c. The court d. (a) or (b) An offer made to a specific person is known as a. Special offer b. Separate offer c. Specific offer d. Standing offer Advertising agent invites a tender it is known as ________ a. An offer b. A counter offer c. An agreement d. An invitation to offer A general offer may be accepted by a. Any person b. Promisee only c. Legal representative only d. Any of these Communication of acceptance, as against the proposer, is complete. a. when the letter of acceptance is put into a course of transmission b. when the letter of acceptance reaches the proposer c. when the proposer has actually learnt the contents of the letter of acceptance A d. None of the above Offer of promise to perform must be made a. at the proper time b. at the proper place c. at the proper form d. All of the above Acceptance is complete for the offer a. when it is posted b. when the offer thinks to accept the offer c. When it is re-posted d. None of these

36. Which of the following is not the legal requirements of a valid offer

a. It must be communicated to the offeree b. It must be made with a view to obtain offeree's assent c. It must express offerer's final willingness d. It must be made to specific person and not to public at large 37. A promisee is a person a. who makes a promise b. A person who monitors the statement intentions of two parties c. To whom the promise is made d. who fails to perform the promise 38. Silence cannot amount to offer by conduct. It is a. True b. Partly true c. False d. Partly false
39. A offers to sell his car to 'B'. Only B can accept or reject it. This is a case of

a. General offer

b. Express offer

c. Specific offer

d. Standing offer

40. A travel agency operates buses from Jaipur to Agra. The bus standing at its bus terminals is with a view to taking the

passengers. There is _______ to take passengers. a. Internal offer b. External offer c. Implied offer d. Express offer 41. Section _______ of the indian contract Act, states that in order to convert a proposal in to a promise, it is necessary that acceptance must be absolute and unqulified a. 7 b. 9 c. 10 d. 11 42. Consent should be given a. By the person to whom offer is made b. Without a condition c. In clear terms either oral or written d. All of the above
43. Which one of the following statement is not correct?

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a. Oral acceptance is a valid acceptance b. Acceptance must be in writing b. Acceptance must be communicated d. Acceptance must be in prescribed manner Which one of the following falls into the category of offer? a. Newspaper advertisement regarding sale b. Display of goods by a shopkeeper in his window with prices marked on them c. An advertisement for a concert d. Announcement of reward to the public A counter offer is a. A rejection of the original offer b. An acceptance of the offer c. A bargain d. An invitation to treat When a person without expressing his final willingness, proposes certain terms on which he is willing to negotiate, he makes a. Counter offer b. Standing offer c. Offer d. invitation to offer A notice in the newspapers inviting tenders is c. Proposal b. An invitation to proposal c. A promise d. An invitation for negotiation When goods are displayed in a shop window with price tags attached to them, the offer comes from c. Shop public b. Shop owner c. Consumer d. officer Offer implied from conduct of parties or from circumstances of the case is called a. General offer b. Specific offer c. Express offer d. Implied offer The terms of offer must be _________ c. Definite b. Certain c. Unambiguous d. All of the above