CA FOUNDATION LAW

MATHS, LOGICAL REASONI

Triple I Commerce Academy

Ca-Foundation
Business Law
Question Paper
Marks: 30
Time: 1 Hour
1. Which of the following is not a MAIN source of law in India?
(a) Legal text books (c) State Assemblies
(b) The Parliament (d) The Constitution

2. Which of the following is NOT a department of the Ministry of Finance?

(a) Department of Economic Affairs (c) Department of States
(b) Department of Expenditure (d) Department of Revenue

3. The Government of India Act, 1935 passed by the

(a) Parliament of India (c) Parliament of USA
(b) Parliament of UK (d) Parliament Russia

4. Which of the following is NOT an example of Civil law?

(a) Breach of contract (c) Traffic offenses
(b) Non-delivery of goods (d) Non-payment of dues

5. The Constitution of India was adopted in:

(a) 1947 (c) 1950
(b) 1949 (d) 1951

(5 x 1= 5Marks)

6. "The general rule is that an agreement made without consideration is void." What
are the exceptions of this general rule as per the Indian Contract Act, 1872.
(3 Marks)

7. X agrees to pay Y ₹ 1,00,000/-, if Y kills Z. To pay Y, X borrows ₹ 1,00,000/- from W,

who is also aware of the purpose of the loan. Y kills Z but X refuses to pay. X also to
repay the loan to W. Explain the validity of the contract.
(i) Between X and Y.
(ii) Between X and W
(4 Marks)

TRIPLE I COMMERCE ACADEMY 1

CA FOUNDATION LAW
MATHS, LOGICAL REASONI

8. State which of the following agreements are valid contract under the Indian Contract
Act, 1872?
(a) A, who owns two cars is selling red car to B. B thinks he is purchasing the black
car.
(b) A threatened to shoot B if he (B) does not lend him ₹2,00,000 and B agreed to
it.
(c) A agrees to sell his house to B against 100 kgs of cocaine (drugs).
(d) A ask B if he wants to buy his bike for ₹ 50,000. B agrees to buy bike.
(e) Mr. X agrees to write a book with a publisher. But after few days, X dies in an
accident.
(5 Marks)

9. “To form a valid contract, consideration must be adequate”. Comment.

(4 Marks)
10. Distinguish between Void Contract and Voidable Contract according to the Indian
Contract Act, 1872.
(5 Marks)

11. “All contracts are agreements, but all agreements are not contracts”. Comment.
(4 Marks)

TRIPLE I COMMERCE ACADEMY 2