1. A person making a proposal is called ..............

(a) Promisor 
(b) Vendor 
(c) Contractor 
(d) Promise 

2. Which one of the following will constitute a valid acceptance? 

(a) An enquiry as to fitness of the subject matter of contract. 
(b) A provisional acceptance 
(c) Addition of a superfluous term, while accepting an offer. 
(d) A conditional acceptance. 

3. Which one of the following statement is true? 

(a) Offer and acceptance are revocable 
(b) Offer and acceptance are irrevocable 
(c) An offer can be revoked but acceptance cannot 
(d) An offer cannot be revoked but acceptance can be revoked. 

4. The Communication of acceptance through telephone is regarded as complete when: 

(a) Acceptance is spoken on phone. 
(b) Acceptance comes to the knowledge of party proposing. 
(c) Acceptance is put in course of transmission. 
(d) Acceptance has done whatever is required to be done by him. 

5. Which one of the following falls into the category of offer? 

(a) Newspaper advertisement regarding sale.
(b) Display of goods by a shopkeeper in his window with prices marked on them 
(c) An advertisement for a concert. 
(d) Announcement of reward to the public.  

6. A sees an article marked “Price Rupees Twenty” in B’s shop .He offers B  20 for the article. B refuses to sell saying the article is not for sale. Advice A. 

(a) A cannot force B to sell the article at ` 20 
(b) A can force B to sell the article at ` 20 
(c) A can claim damages 
(d) A can sue B in the Court. 

7. Which one of the following statement is incorrect? 

(a) Oral acceptance is a valid acceptance. 
(b) Mere silence is not acceptance 
(c) Acceptance must be communicated 
(d) Acceptance may not be in the prescribed manner 

8. Consider the following statement:

(1) There is no difference between the English Law and Indian Law with regard to acceptance through post.
(2) Both Under the English Law and the Indian Law a contract is concluded when the letter of acceptance is posted.
(3) Under the Indian Law when the Letter of acceptance is posted it is completed only as against the proposer.

Which of the above statement is/are correct? 

(a)1 and 2
(b) 2 alone
(c) 3 alone
(d) None

9. In Commercial and business agreements, the intention of the parties to create legal relationship is  

(a) Presumed to exist 
(b) To be specifically expressed in writing 
(c) Not relevant or all 
(d) Not applicable. 

10. An agreement is a Voidable Contract when it is 

(a) Enforceable 
(b) Enforceable by Law at the option of the aggrieved party 
(c) Enforceable by both the parties 
(d) Not enforceable at all. 

MCQs on Indian Contract Act 1872