Revision Questions and Answers on Business Law (CBT)

1. ____is required in addition to delivery for a bill of exchange payable to order to be negotiated.

2. An agent who indemnifies the principal in return for an extra or higher commission is called____

3. If an acceptance is conditional or any fresh term is included by the offeree, the acceptance is called____

4. When will title in goods pass to the hirer under a hire purchase contract?

5. 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____

6. An invitation to make an offer is called____

7. Where an offeree refuses to assent to the terms of an offer, the offer is said to have been____

8. A bill of exchange drawn on a banker and payable on demand is called a____

9. Goods that are owned or possessed by the seller under a contract of sale are called____

10. A person who appoints another and authorizes him to enter into a contractual relationship with a third party is called____

11. The principle whereby a principal subsequently accepts an unauthorized action of an agent is called____

12. A seller’s right to stop goods on the way before it gets to the buyer is called____

13. A partner who does not participate in the day to day running of a partnership business is____

14. The type of agency created in an emergency for the benefit of a person whose authority cannot be obtained is called

15. State the type of goods to which the Hire Purchase Act 2004 is applicable irrespective of the amount involved.

16. The person on whom a bill is drawn is known as____

17. Property will not pass in unascertained goods until the goods are____

18. A term which authorizes the owner or his agent to enter any premises to retake possession in a hire purchase agreement is____

19. In a general partnership, the maximum number of partnerships is____

20. 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____

21. Something of value in the eye of the law which is given for a promise in order to make it enforceable is called

22. 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____

23. The relationship which subsists between persons carrying on business is common is called____

24. 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.

25. A partnership with one or more partners and one or more limited partners is called____

26. The mode of payment by the hirer in a hire purchase transaction is____

27. Except for Lawyers and Accountants, it is illegal to form a partnership of more than____ persons.

28. 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____

29. Consideration must be sufficient but need to be____