Revision Questions and Answers on Business Law (CBT) / Business Law, CBT Q&A / By Charles Izuoba / March 9, 2020 August 23, 2021 These questions were extracted from 2017 Yabatech Test Questions on Business Law (ND3 PT) Please enter your email: 1. Consideration must be sufficient but need to be____ Adequate Consistent Approved 2. An invitation to make an offer is called____ Invitation to Sale Invitation for Business Invitation to Treat 3. The mode of payment by the hirer in a hire purchase transaction is____ Installment Payment Major Payment Progress Payment 4. Where an offeree refuses to assent to the terms of an offer, the offer is said to have been____ Void Collapse Rejected 5. A bill which on the face of it purports or is to be both drawn and payable within Nigeria or drawn within Nigeria upon some person resident therein is called____ National Bill Permanent Bill Inland Bill 6. An implied condition on the part of the seller that he has a right to sell goods when a property is to pass is known as____ Ownership CEO Title 7. When will title in goods pass to the hirer under a hire purchase contract? When the hirer pays as agreed for the goods When the hirer exercises the option to purchase When the hirer pays completely for the goods 8. Sale in market overt, estoppels, sale by the seller in possession and sale by the buyer in possession are exceptions to the principle captured in the Latin phrase called____ See Also: Law of Partnership - The Partnership Law Nemo Habet Herbert Macaulay Nemo Dat Quod Non Habet 9. Goods that are owned or possessed by the seller under a contract of sale are called____ Real Goods Existing Goods Contractors Goods 10. The principle whereby a principal subsequently accepts an unauthorized action of an agent is called____ Ratification Agreement Acceptance 11. A seller’s right to stop goods on the way before it gets to the buyer is called____ Stoppage in transitu Work in Transit Transiting 12. A term which authorizes the owner or his agent to enter any premises to retake possession in a hire purchase agreement is____ Void Possession Stamp Agreement 13. Under the Hire Purchase Act 2004, the owner can recover possession without a court order, where there is a default in an instalment when the____ has been paid. 40% or 60% 30% or 70% 50% or 60% 14. ____is required in addition to delivery for a bill of exchange payable to order to be negotiated. Commitment Focus Endorsement 15. An agent who indemnifies the principal in return for an extra or higher commission is called____ See Also: Law of Contract Del Credere Agent Assistant Agent Decorative Agent 16. A partner who does not participate in the day to day running of a partnership business is____ Unaccepted partner Sleeping Partner Distance Partner 17. A bill of exchange drawn on a banker and payable on demand is called a____ Cheque Withdrawal Slip Deposit Slip 18. Except for Lawyers and Accountants, it is illegal to form a partnership of more than____ persons. 15 10 20 19. The person on whom a bill is drawn is known as____ Drawee Drawer Withdrawer 20. Property will not pass in unascertained goods until the goods are____ Recommended Salable Ascertained 21. If an acceptance is conditional or any fresh term is included by the offeree, the acceptance is called____ First Offer Counter Offer Replanned Offer 22. State the type of goods to which the Hire Purchase Act 2004 is applicable irrespective of the amount involved. Vehicle Repair Motor Vehicle Machine Set 23. In a general partnership, the maximum number of partnerships is____ 10 20 15 24. A partnership with one or more partners and one or more limited partners is called____ Limited Partnership Approved Partnership Restricted Partnership 25. A person who appoints another and authorizes him to enter into a contractual relationship with a third party is called____ See Also: AGENCY - Law of Agency (Business Law) Principal Proprietor Headmaster 26. The type of agency created in an emergency for the benefit of a person whose authority cannot be obtained is called Agency of Necessity Agency of Need Emergency Agency 27. Something of value in the eye of the law which is given for a promise in order to make it enforceable is called Consideration Promissory Note Agreement 28. Where, without the fault of either party of a contract, there is an occurrence that makes the contract impossible to perform, the contract is said to have been____ Frustrated Dissolved Savaged 29. The relationship which subsists between persons carrying on business is common is called____ Collaboration Partnership Participation Loading … Related posts: AGENCY – Law of Agency (Business Law) #1-10 Financial Accounting Questions & Answers Law of Contract Law of Partnership – The Partnership Law Law Case Study – How To Answer Case Studies in Law Vitiating Factors – 5 Major Vitiating Factors Questions on 1,2,3 Column Cash Book Purchasing Cycle And International Purchasing Questions on Probability – Business Maths 10 Questions on Subsidiary Books Subsidiary Books of Accounting; Types & Summary