Law of Agency Exam Questions and Answers

law of agency sample paper

Laws of Agency Quizlet​:

Ques. Which type of agency is created in relation of husband – wife ?
(a) Agency of implication
(b) Agency of estopple
(c) Agency of necessity
(d) Agency of appointed

Ans. (c)

Ques. When agent is liable to pay compensation to principal ?
(a) Negligence
(b) Misconduct
(c) Giants of skills
(d) All the choices incorporated here

Ans. (d)

Ques. The liability of pretended agent is know as __
(a) liability by holding out
(b) liability created by law
(c) liability by rectification
(d) liability of relation

Ans. (a)

Ques. To create an agency ……….. is not required
(a) principal
(b) third party
(c) agent
(d) consideration

Ans. (d)

Related: spot the error exercise

Ques. To whom the agent is responsible ?
(a) Contractor
(b) None of these
(c) Sub Agent
(d) Principal

Ans. (d)

Ques. Who creates the contractual relation between two parties ?
(a) Principal
(b) Co-Agent
(c) Broker
(d) Agent

Ans. (c)

Ques. A person employed to do any and represent is called ………..
(a) principal
(b) servant
(c) agent
(d) owner

Ans. (c)

Ques. ……….. agents gets extra remuneration.
(a) General Agent
(b) Broker
(c) Sub Agent
(d) del credere

Ans. (d)

Related: Analogy (Reasoning) Practice Question Paper

Ques. The power given to agents is ………..
(a) expressed & implied
(b) reasonable & unreasonable
(c) legal & illegal
(d) all of these

Ans. (a)

Ques. Who can become an agent ?
(a) Minor
(b) Both Minor & Adult
(c) Adult person
(d) Dead person

Ans. (b)

Ques. Which acts can be rectified by principal ?
(a) Illegal acts
(b) Criminal acts
(c) Void acts
(d) Legal acts

Ans. (d)

Ques. How the agency is create ?
(a) by ratification
(b) by necessity
(c) by implication
(d) by all following methods

Ans. (d)

Related: Sales of Goods Act MCQ

Ques. Auctioneer agent gets ……….. lien.
(a) general
(b) none of these
(c) particular
(d) special

Ans. (c)

Ques. On which name the factor agent has right to sale the goods ?
(a) By seller or buyer name
(b) By name of seller
(c) By name of purchaser
(d) His own name

Ans. (d)

Ques. Can principal rectify the tortuous acts ?
(a) No
(b) Yes
(c) Sometimes
(d) As per circumstance

Ans. (b)

Ques. Broker who does only the work of insurance called __
(a) general agent
(b) del crader agent
(c) special agent
(d) commission agent

Ans. (c)

Related: Fundamental Right of Every Citizen of India

Ques. Who appoints sub agent ?
(a) Principal
(b) Main agent
(c) Servant
(d) Owner

Ans. (b)

Ques. Which Guarantee is given by del credere agent ?
(a) Solvency of purchaser
(b) Solvency of Agent
(c) Own Solvency
(d) Solvency of seller

Ans. (a)

Ques. On whose insolvency the agency is terminated ?
(a) Sub agent
(b) Del credere
(c) Agent
(d) Principal

Ans. (d)

Ques. Whose interest involved in Agency coupled with agency ?
(a) Principal
(b) Main agent
(c) Third party
(d) Sub agent

Ans. (b)

Related: Contracts of Indemnity and Guarantee MCQ

Ques. Can minor appoint an agent ?
(a) Under Specific circumstances
(b) Always
(c) Never
(d) Sometimes

Ans. (c)

Ques. Under which circumstances agent become personally responsible ?
(a) fraudulent transactions
(b) ultra virus
(c) fraud
(d) All as under

Ans. (d)

Ques. To whom the acts of agent are binding ?
(a) Del – Creader
(b) Sub agent
(c) Third party
(d) Principal

Ans. (d)

About the author

Jaspreet Singh

Jaspreet (Masters in Commerce) not only have exceptional command of Accounts and Commerce subjects but also have keen interest in Law. He is consistent in producing high quality assignments.

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