1. The Indian Contract law is based on

(a) English law
(b) Australian law
(c) American law
(d) French law

2. Which section, of Indian Contract Act defines "performance of the conditions of a proposal is an acceptance of the proposal"?

(a) Section 6
(b) Section 7
(c) Section 8
(d) Section 9

3. Section 2(b) defines, "When the person to whom the proposal is made, signifies his assent thereto,the proposal is said to be accepted. A proposal when accepted becomes a/an

(a) Contract
(b) Agreement
(c) Promise
(d) Offer

4. An advertisement inviting tender is

(a) An invitation for negotiations
(b) A proposal
(c) An invitation for proposal
(d) A promise

5. In order to convert a proposal into a promise, the acceptance must

(a) Be clear
(b) Be absolute
(c) Be unqualified
(d) Be absolute and unqualified

6. Goods displayed in a shop window with a price label will amount to

(a) Offer
(b) Invitation to offer
(c) Acceptance of offer
(d) None of these

7. The difference between an advertisement for sale and a proposal is

(a) No difference at all
(b) That a proposal becomes a promise as soon as the party to whom it is made accepts it but an
advertisement does not
(c) Every case will be viewed according to the circumstances
(d) None of these

8. Various modes of revocation of offer have been described in

(a) Section 4
(b) Section 5
(c) Section 6
(d) Section 9

9. An agreement to agree in future upon terms to be settled afterwards between the parties is

(a) Valid
(b) Not valid
(c) Illegal
(d) Voidable

10. Cross offer do not constitute a contract because

(a) there is no acceptance
(b) there is implied acceptance
(c) crossing implies cancellation
(d) it amounts to counter offer

MCQs on Indian Contract Act 1872