1. Consideration may be in the form of 

 (a) A return promise 
(b) Forbearance 
(c) Doing an act 
(d) All of these 

2. If there is no consideration, there will be a 

 (a) Void Contract 
(b) Voidable Contract 
(c) No Contract  
(d) Illegal Contract 

3. Which of the following is a person of unsound mind 

 (a) Lunatics 
(b) Idiots 
(c) Drunkard 
(d) All of the above 

4. A wrong statement made is called  

 (a) Misrepresentation 
(b) Fraud 
(c) Undue Influence 
(d) Mistake 

5. Agreements tending to create monopolies are void as being:

 (a) Immoral 
(b) Fraudulent 
(c) Forbidden by law 
(d) Opposed to public policy. 

6. Which one is Contingent Contract 

 (a) D promises to pay E ` 20,000, if goods lying in E’s godown are destroyed by fire 
(b) D promise to pay E, if he purchases his goods 
(c) D promises to pay E, if he sells his car to him 
(d) D promises to pay E to buy his scooter, if he is ready to sell it 

7. Finder of goods is the next best owner to real amount 

 (a) True 
(b) False 
(c) Partly True 
(d) None of the above 

8. A valid ‘tender’ must be 

 (a) Conditional 
(b) Unconditional 
(c) Made to a third party  
(d) Made in a foreign currency 

9. To be a valid ‘tender’, it must be 

 (a) For the whole obligation 
(b) For the necessary part of obligation 
(c) For at least 75% of the obligation 
(d) None of these 

10. Because of supervening impossibility, the contract becomes 

 (a) Illegal 
(b) Void 
(c) Voidable 
(d) Remains Valid 

MCQs on Indian Contract Act 1872