Legal Aspects of Business Objective Questions and Answers

22. Which one of the following relates to warranty?

23. The tax which was not merged into GST is:

A. Countervailing Duty

B. Excise duty

C. Basic Customs Duty

D. Purchase tax

Discussion

24. The first auditor in a company limited by shares may be appointed by the directors:

A. Within a year of its registration

B. Before the statutory meeting

C. At the time of first annual general meeting

D. Any time in consultation with the Institute of Chartered Accountants of India

Discussion

25. A, a singer, enters into a contract with B, the manager of a theatre, to sing at his theatre two nights in every week during the next two months and B engages to pay her Rs. 1,000 for each night's performance. On the sixth night, A will fully absent herself from the theatre.

A. B is at liberty to put an end to the contract

B. B cannot put an end to the contract

C. Either A and B

D. None of the above

Discussion

26. In which order are the following documents prepared?
1. Articles of Association
2. Notice of Statutory Meeting
3. Memorandum of Association
4. Prospectus

27. If a Minor draw, indorse, deliver and negotiate Negotiable Instruments, it binds:

A. all the parties except minor

B. all the parties including minor

C. minor and only drawer

D. minor and the drawee

Discussion

28. Official liquidators are appointed from a panel of

A. Professional firms of Chartered Accountants

B. Advocates

C. Company Secretaries

D. All of the above

Discussion

Legal Aspects of Business MCQs