Business law - 416

Which of the following does not fall under the category of an invitation to treat?

• An advertisement

• An auctioneer inviting bids for a particular item

• An advertisement of reward for the return of a lost pet

• A display of goods with price tags in a self-service supermarket

Can a minor become an agent?

• Yes, it is not necessary for an agent to attain the age of majority

• Yes, but the agency contract must be in writing

• No, the minor has no legal capacity to do so

• No, the minor must obtain permission from the court

An order from the court to stop a person from committing a specific act is called

• rescission

• payment of quantum meruit

• specific performance

• injunction

What is the meaning of the legal maxim "nemo dat quad not habit"?

• A buyer must act in good faith

• A buyer must rely on the seller's skill and judgment

• Nobody can transfer a better title than he has himself

• Good supplied must be of merchantable quality

A Hire Purchase agreement consists of the following elements EXCEPT

• deferred payment

• scheduled payment

• payment in cash

• payment in instalments

Which of the following are goods covered under the Sale of Goods Act 1957?

• An island

• A RM50 note

• A banana tree

• A plate

A voidable contract is a contract which is

• void ab initio

• valid until the innocent party chooses to avoid it

• valid but becomes void because of an illegality

• valid but cannot be enforced because it does not comply with certain requirements of the law

Which of the following are goods covered by the Hire- Purchase Act 1967?

• An apartment

• A horse

• An office desk

• A submarine

Which of the following is a termination of agency by operation of law?

• The death of either the principal or the agent

• The failure of the agent to complete his task

• The refusal of the principal to pay the agent's remuneration

• The dismissal of the agent by the principal

The following are the advantages of a sole proprietorship EXCEPT

• it is easy to form

• it must hold annual general meeting

• it can be owned by individuals

• it has unrestricted power of borrowing