Top 50+ Solved Negotiable Instrument Act 1881 MCQ Questions Answer
Q. The reasonable period allowed in India for the presentation of a cheque is
a. 1 year
b. 3 months
c. 9 months
d. depending upon custom
Q. Section 6 of the Negotiable Instruments Act defines ___.
a. Cheque
b. Bill of Exchange
c. Promissory Notes
d. Dishonour by non-payment
Q. If a Minor draw, indorse, deliver and negotiate Negotiable Instruments, it binds __
a. All the parties except minor
b. All the parties including minor
c. Minor Only
d. Minor and Only Drawer
Q. Dishonour of Negotiable Instrument by Non Payment is covered under section in NegotiableInstrument Act 1882…
a. Section 90
b. Section 91
c. Section 92
d. Section 93
Q. Which of the following section in the Negotiable Instruments Act deals with the Bill of Exchange?
a. Section 5
b. Section 6
c. Section 4
d. Section 13
Q. Which of the followings are not the Negotiable Instruments as defined by the Statute…
a. Banker’s Note
b. Promissory Note
c. Bill of Exchange
d. Cheques
Q. Which of the following is/are true about bill of exchange? A) A bill of exchange requires in its inception two parties. B) A bill of exchange or “draft” is a written order by the drawer to the drawee to pay money to the payee. C) Bills of exchange are used primarily in international trade, and are written orders by one person to his bank to pay the bearer a specific sum on a specific date. D) Definition of ‘Bill of Exchange’ is mentioned in Section 6 of the Negotiable Instrument Act.
a. (A) and (D)
b. (A), (B) and (D)
c. (B) and (C)
d. (C) and (D)