1. Which of the following mortgages can be made without writing?

a. Equitable mortgage

b. English mortgage

c. Simple mortgage

d. Usufructuary mortgage

Ans. a

2. In which of the following mortgages the mortgagor is required to deliver possession

of the mortgaged property to the mortgagee?

a. English mortgage

b. Mortgage by conditional sale

c. Usufructuary mortgage

d. Anomalous mortgage

Ans. c

3. Where the principal money secured is one hundred rupees or upwards, a mortgage
other than a mortgage by deposit of the deed can be effected only by

a. registered instrument

b. signed by the mortgagor

c. attested by at least two witnesses

d. all the above

Ans. d

4. The mortgage, in which without delivering possession of mortgaged property, the

mortgagor binds himself personally to pay the mortgage money is known as

a. English mortgage

b. Mortgage by deposit of the title deeds

c. Simple mortgage

d. Anomalous mortgage

Ans. c
5. Under TPA which of the following mortgage with the value of Rs. 100 or above is not
compulsory registrable?

a.English mortgage

b. Mortgage by deposit of the title deeds

c. Simple mortgage

d. Mortgage by conditional sale

Ans. b

6. Under which one of the following sections of the TPA, the English mortgage has been
defined?

a. 58(e)

b. 58(d)

c. 58(a)

d. 58(f)

Ans. a

7. Right of redemption arises in the case of

a. gifts

b. mortgage

c. lease

d. exchange

Ans. b

8. The mortgage which involves the absolute transfer of the mortgaged property with a
provision for re-transfer is

a.English mortgage

b. Mortgage by deposit of the title deeds

c. Simple mortgage

d. Mortgage by conditional sale

Ans. c

b. till the mortgage money is paid

c. for a fixed period of 30 years

d. for a fixed period of 99 years

Ans.

10. In a simple mortgage possession of the mortgaged property

a. is given to the mortgagee

b. is given to the third party as a security

c. remains with the mortgagor

d. none of the above

Ans. c

PROMISSORY NOTES
MCQ.
14. The number of parties to a Promissory Note is _______

a. 2                                                 b. 4                                                c. 6            

  d. 3
Ans. A

15. Sec. 4 of negotiable instruments Act 1880 deals with

a. Promissory Note                         b. bill of exchange                         c. Cheque      

d. none of the above

Ans. a

12. ______________ is an instrument in writing, containing an unconditional order,

signed by the maker, directing a certain person, to a pay a certain sum of money
only to, or to the order of a certain person or to the bearer of the instrument

a. Promissory Note                         b. bill of exchange                         c. Cheque      

d. none of the above
Ans. b

24. ___________ is an order to pay the third party

a. Promissory Note                        b. bill of exchange                         c. Cheque      

d. none of the above

Ans. a

25. A Promissory Note or Bill of Exchange can be made payable

a. On demand                                                                         b. On a specific date

c. After a specified period – months or days.                        d. all of the above

Ans. d

1. Person named in the instrument to whom money is directed to be paid is known as

_______________.

a) Drawer

b) Acceptor

c) Maker

d) Payee

Ans D

4. Parties to a negotiable instrument can be discharged from liability by ______________

a) Cancellation

b) Payment
c) Release

d) All of the above

Ans D

11. A promissory note drawn jointly by X, a minor and Y, a major is:

a) Void

b) Valid but not negotiable

c) Valid but can be enforced only against Y

d) None of the above

Ans C