Top 150+ Solved Review 2 MCQ Questions Answer
Q. A and B are capitalist partners, with C as an industrial partner. A and B contributed P15, 000.00 each to the capital of the partnership. A contractual liability of P40, 000.00 was incurred by the partnership in favor of X. If the capital assets have been exhausted to pay X, leaving a contractual liability of P10, 000.00, X can recover the amount from:
a. A and B only
b. A, B and C
c. A, B and C and C can recover for reimbursement from A and B
d. No reimbursement may be recovered by C.
Q. A, B and C are partners engaged in a retail business. Their contribution is P20, 000.00 each. D is admitted as a new partner with a contribution of P8, 000.00. At the time of his admission, the partnership has an outstanding obligation to E in the amount of P80, 000.00. In this case:
a. D is not liable to E for this obligation and his P8,000 contribution shall remain with the partnership
b. D is liable to E for this obligation so that after the assets of the partnership amounting to P68, 000.00 will be exhausted leaving a balance of P12, 000.00, only A, B and C shall be liable jointly or pro rata, out of their separate property.
c. D is liable to E for this obligation so that after the assets of the partnership will be exhausted, leaving a balance of P12,000.00, all the partners shall be liable jointly or pro rata, including D, out of their separate property.
d. D will be liable only if he knew of the liability of P80,000 at the time he joined the partnership.
Q. Mr. Ayco offered to sell his land to Mr. Cruz for P300,000. Mr. Cruz accepted the offer and paid Mr. Ayco the purchase price. Mr. Ayco delivered the owner’s duplicate of the Transfer Certificate of title of the land. Mr. Cruz wants to register the land in his name but the Register of Deeds asks Mr. Cruz for the Deed of Sale. What can Mr. Cruz do?
a. He may occupy and use the land as a buyer in good faith.
b. He cannot compel Mr. Ayco to return the payment because the contract is unenforceable.
Q. Andrea wrote Bernardo a letter offering to sell a piece of land. Andrea gave Bernardo two months within which to pay the price of P500,000. After 50 days Andrea informed Bernardo that she is increasing the price of the land to P700, 000. Can Bernardo compel Andrea to accept the P500,000 first offered and execute the deed of sale?
a. No, because Bernardo did not signify his acceptance of the offer of P500,000
b. Yes, because the period of 2 months has not yet expired.
c. Yes, because Andrea is already estopped by her signed letter.
d. Yes, because there was actual meeting of minds of the parties.
Q. Antonio sold a piece of land to Renato binding himself not to sell the same to another person. On the following day, Antonio sold the land to Carlos who immediately took possession in good faith. In the case at bar, the proper remedy of Renato is to:
a. Institute an action for the annulment of the sale to Carlos.
b. Institute an action for the recovery of the land.
c. Institute an action for damages against Antonio.
d. Institute an action for a declaration of nullity of the sale to Carlos.
Q. Mr. Reyes has a tax liability of P100, 000. In order to evade the payment of the tax liability, he executed a deed of sale of his only parcel of land valued for P100, 000.00 in favor of his brother, Pablo. The deed of sale stated a purchase price of P20, 000.00 but the BIR has evidence that said price had never been paid.
a. The BIR may not levy upon the land because the sale is valid.
b. The BIR, without having the sale annulled may levy upon the land of (Mr.Reyes pursuant to the Tax Code.
c. The BIR should first have the sale annulled before it may levy upon the land pursuant.
d. The BIR should first have the sale rescinded for lesion to the government.
Q. Consent is manifested by the meeting of the offer and the acceptance upon the thing and the cause which are to constitute the contract. Which of the following constitutes an offer?
a. an definite offer made through an agent
b. business advertisement of things for sale
c. advertisements for bidders
d. a declaration of an intent to sell.
Q. When goods are delivered to the buyer “on sale or return”, for a period of seven (7) days, ownership of the goods passes to the buyer,
a. Upon delivery of the goods.
b. Upon expiration of seven (7) days.
c. Upon acceptance by the buyer of the offer of the seller.
d. Upon perfection of the contract.
Q. Ben pledged his watch to V. Y. Domingo for P5,000. On the due date Ben failed to pay his loan and redeem the watch. The pawnshop sold the watch at public auction to the highest bidder at P4,000.
a. The pawnshop can recover the deficiency of P1, 000 from Ben.
b. The pawnshop cannot recover the P1, 000 unless there is a stipulation.
c. The pawnshop can recover the P1, 000 even without a stipulation.
d. The pawnshop cannot recover the P1, 000 even if there is a stipulation.
Q. Mr. X executed a chattel mortgage over his house and lot to Mr. Y. When the obligation became due, Mr. X did not pay despite demand.
a. Mr. Y has no right to foreclose the mortgage because the house and lot are not chattels.
b. Mr. Y has no right to foreclose the mortgage unless Mr. X consents to the foreclosure.
c. Mr. Y has no right to foreclose the mortgage because he can sue for collection.
d. Mr. Y may foreclose the mortgage because Mr. X is estopped from claiming the invalidity of the chattel mortgage over the real property, but foreclosure should be made under the procedure of a real estate mortgage.
Q. Mr. D borrowed P500, 000 from Mr. C with Mr. G as guarantor. When the debt fell due, Mr. D did not pay despite demand.
a. Mr. C may collect from Mr. G because he guaranteed payment of the debt.
b. Mr. G may refuse to pay even if Mr. D is insolvent.
c. Mr. G may ask Mr. C to exhaust all the properties of the Mr. D first before collecting from Mr. G.
d. Mr. G may refuse to pay even if Mr. D has absconde
Q. Every contract of partnership having a capital of three thousand pesos or more, in money or property, shall appear in a public instrument, which must be recorded in the Office of the Securities and Exchange Commission. Failure to comply with this requirement;
a. renders the contract of partnership void.
b. renders the contract of partnership unenforceable.
c. affects the liability of the partnership to third persons and the partnership has no legal personality.
d. does not affect the liability of the partnership to third persons and the partnership still has a legal personality.
Q. X is not a partner of A, B, and C. Without the consent or knowledge of C but with the implied consent of A and B, X made T believe that he is a partner of A, B, and C. Who shall be liable for the payment of a debt of P500, 000 in favor of T who extended credit on the basis of the misrepresentation?
a. X, A and B pro rat
b. X, A and B solidarily.
c. X, A, B and C pro rata.
d. X, A, B and C solidarily.
Q. Seller wrote Buyer offering to sell his only house for a specified price. The letter was mailed on the same date it was written. Buyer offered to buy the same house for the same price and the letter containing the offer to buy was also mailed on the same date it was written. On the same date and time Seller and Buyer received the letters written to each other.
a. There is a perfected contract.
b. There is a perfected contract only when they have orally confirmed their having received the letters written to each other.
c. There is no contract because the offers were not certain.
d. There is no contract because there was no acceptance.
Q. Jose went to visit Pablo, a friend one Sunday morning where a card game was going on. Jose joined the game and lost P50,000. He became indebted to the winner for P10, 000 more. Which among the following statements is not correct?
a. The winner cannot maintain an action to collect the P10,000.
b. Jose may recover P50,000 from the winner with legal interest from the time he paid the amount lost.
c. Jose may recover P50,000 from the winner but without legal interest.
d. If Jose refuses to recover from the winner, the spouse of Jose may institute the action to recover.