Indian Contract Act - Practice Test

[#381] Where the debtor has omitted to intimate, and there are no other circumstances indicating to which debt the payment is to be applied:

(A) The creditor may apply it at his discretion to any lawful debt actually due and payable to him from the debtor, provided its recovery is not barred by the law

(B) It is to be applied in discharge of the debts in order of time

(C) It is to be applied in discharge of the debts in order of time provided they are not barred by the law of limitation

(D) The creditor may apply it at his discretion to any lawful debt actually due and payable to him from the debtor, whether its recovery is or is not barred by the law in force for the time being as to the limitation of suits

Correct Answer

(D) The creditor may apply it at his discretion to any lawful debt actually due and payable to him from the debtor, whether its recovery is or is not barred by the law in force for the time being as to the limitation of suits

[#382] Which one of the following statements with regard to contract is not correct?

(A) Performance of the conditions of a proposal, or the acceptance of any consideration for a reciprocal promise which may be offered with a proposal, is an acceptance of the proposal

(B) An agreement made without consideration can be enforced by law as contract if it is in writing between parties standing in near relationship and is made on account of natural love and affection

(C) Every agreement in restraint of the marriage of any person, other than a minor, is void

(D) An acceptance may be revoked at any time before the communication of the acceptance is complete as against the acceptor, but not afterwards

Correct Answer

(A) Performance of the conditions of a proposal, or the acceptance of any consideration for a reciprocal promise which may be offered with a proposal, is an acceptance of the proposal

[#383] A calls up B and asks "Will you sell me your house? SMS me the lowest cash price." B's reply by SMS was "Lowest cash price for my house is rupees 1 crore." A, immediately sent another SMS to B stating "I agree to buy your house for rupees 1 crore, as asked by you." B did not respond and subsequently sold the house to C. B's SMS to A was"

(A) An offer

(B) An acceptance

(C) An invitation to receive offer

(D) None of the above

Correct Answer

(C) An invitation to receive offer

[#384] 'A' promises to make a sculpture for 'B'

(A) 'A' must perform this promise personally

(B) A's son can perform the promise

(C) A's servant can perform the promise

(D) A's employer can perform the promise

Correct Answer

(A) 'A' must perform this promise personally

[#385] Who may employ an agent?

(A) Any major person

(B) Any person who is of sound mind

(C) Any major and person of sound mind

(D) A citizen of India

Correct Answer

(C) Any major and person of sound mind

Indian Contract Act - Study Mode

[#381] Where the debtor has omitted to intimate, and there are no other circumstances indicating to which debt the payment is to be applied:

Correct Answer

[#382] Which one of the following statements with regard to contract is not correct?

Correct Answer

Correct Answer

[#384] 'A' promises to make a sculpture for 'B'

Correct Answer

[#385] Who may employ an agent?

Correct Answer