After College Classroom Handout

IBPS SO 2021 MAINS

1. A promissory note payable by instalments must be presented for payment on the ………… after the date
fixed for payment of each instalment
(a) Second day (b) Third day (c) Fourth day (d) Fifth day (e) Eighth day

2. What is the maximum amount of interim compensation that can be granted by the
Court under Negotiable Instruments Act?
(a) 12% (b) 15% (c) 18% (d) 20% (e) 22%

3. Under NI Act, Power of Appellate Court to order payment pending appeal against conviction is given
under Section ……
(a) 143 (b) 145 (c) 147 (d) 148 (e) 149

4. Presumption under Section 118 of NI Act states that

(a) every negotiable instrument was made or drawn for consideration
(b) every instrument was endorsed for consideration
(c) every instrument was transferred for consideration
(d) Both a and b
(e) All a, b and c

5. Who shall assist the secured creditor in taking possession of secured asset?
(a) District Court (b) Executive Magistrate
(c) District Magistrate (d) Judicial Magistrate of First class
(e) Civil Court

6. Hypothecation includes
(a) Charge upon movable property (b) Charge upon immovable property
(c) Floating charge on movable property (d) Both a and c
(e) All a, b and c

7. Leading questions can be asked in

(a) Examination-in-chief (b) Examination-in-chief with the permission of court
(c) Re-examination (d) Re-examination with the permission of court
(e) Cannot be asked

8. The legal maxim Doli Incapax is associated with Section ….. of IPC
(a) 80 (b) 82 (c) 84 (d) 87 (e) 90

9. Hangman is protected from Criminal Liability under ……… of IPC

(a) Section 75 (b) Section 76 (c) Section 78 (d) Section 80 (e) Section 82
10. An act done by a person in a state of intoxication administered against his will is

(a) An offence and he is liable for the act as if he had the knowledge
(b) Not an offence
(c) Not an offence if he was incapable of knowing the nature of the offence
(d) An offence even if he didn’t know that he is doing wrongful act
(e) None of the above

11. Cognizable Offence means

(a) A police officer has no authority to arrest without warrant
(b) A police officer has authority to arrest without warrant
(c) A police officer may arrest but later needs to be approved by higher authority
(d) Bail can be granted
(e) Bail cannot be granted

12. When any judge or magistrate is accused of any offence while in discharge of his official duty,
(a) Court shall not take cognizance of such offence
(b) Court shall take cognizance of such offence suo moto
(c) Court shall take cognizance of such offence with the previous sanction of Central Government if the
person was employed in connection with the affairs of Union
(d) Court shall take cognizance of such offence with the previous sanction of Central Government if the
person was employed either in connection with the affairs of Union or State
(e) Court shall take cognizance of such offence with the previous sanction of State Government if the
person was employed in connection with the affairs of Union

13. When cases are instituted otherwise than on police report and the Magistrate shall discharge the
accused if
(a) He thinks that the charges are groundless
(b) no case against the accused has been made out
(c) the charges are not very grave
(d) Both a and b
(e) Both a and c

14. If a witness is not able to communicate, he may give his evidence by writing or signs and
(a) the Court shall take assistance of family member
(b) the Court shall take assistance of interpreter
(c) such statement shall be video-graphed
(d) the Court shall take assistance of family member and such statement shall be video-graphed
(e) the Court shall take assistance of interpreter and such statement shall be video-graphed

15. When can the Court dispense with the general questioning of the accused about the case?
(a) In a warrant-case
(b) In a summons-case
(c) In a summons-case where the Court has dispensed with the personal attendance of the accused
(d) In a summary trial
(e) None of the above

16. Adhesive stamp can be cancelled by a person by

(a) Drawing two parallel lines
(b) Drawing a cross on the stamp
(c) By writing his name across the stamp with the date
(d) By writing the word cancelled on the stamp
(e) None of the above
17. Indian Stamp Act came into force on
(a) July 1 1888 (b) July 1 1899 (c) July 1 1999 (d) July 1 1909 (e) July 1 1900

18. What is the objective of Payment and Settlements Act?

(a) To regulate the payment systems in India
(b) To supervise the payment systems in India
(c) To designate the Reserve Bank of India as the authority to regulate and supervise payment systems
in India
(d) All of the above
(e) Both a and b

19. Under the Payment and Settlements System Act, Reserve Bank can impose a penalty of ……..on the
person contravening or committing default where the amount is quantifiable
(a) Twice the amount involved in contravention or default
(b) Thrice the amount involved in contravention or default
(c) Four times the amount involved in contravention or default
(d) Five times the amount involved in contravention or default
(e) Six times the amount involved in contravention or default

20. Which of the following is included in the definition of Industrial Dispute?

I. Dispute between employers and employers
II. Difference between employers and workmen
III. Dispute between workmen and workmen
(a) Only II (b) Only I
(c) Only III (d) Both II and III (e) All I, II, III

21. As per Sales of Goods Act goods means every kind of moveable property other than actionable claims
and money; and includes __________________
(a) Stock and shares
(b) Growing crops, grass, and things attached to or forming part of the land which are agreed to be
severed before sale or under the contract of sale
(c) Growing crops, grass, and things attached to or forming part of the land which are not agreed to be
severed before sale or under the contract of sale
(d) Both a & b
(e) Both b & c

22. When can there be a revocation of proposal?

(a) At any time that the parties may mutually decide
(b) At any time before the communication of its acceptance is complete as against the proposer
(c) At any time before the communication of its acceptance is complete as against the proposer, but not
afterwards
(d) At any time before the communication of the acceptance is complete as against the acceptor, but not
afterwards
(e) At the time when it is put in a course of transmission to the offeror, so as to be out of the power of the
acceptor

23. Which of the following is not correct with respect to wagering agreement?
(a) Wagering agreements are voidable
(b) Wagering agreements are of such nature that no suit shall be brought for recovering anything alleged
to be won on any wager
(c) Parties are not interested in the occurrence of the event except for winning or losing the best amount
(d) Uncertain event is a sole determining factor of the agreement
(e) All wager contracts are contingent contracts
24. Contingent agreements to do or not to do anything, if an impossible event happens, are ____________
(a) Void, whether the impossibility of the event is known or not to the parties to the agreement at the time
when it is made
(b) Voidable, whether the impossibility of the event is known or not to the parties to the agreement at the
time when it is made
(c) Illegal and so cannot be enforced by law even though that event might have happened
(d) Void, even if the impossibility of the event is known to the parties to the agreement at the time when it
is made
(e) Both a & c

25. A continuing guarantee may at any time be revoked ___________________

(a) By the surety, as to any transaction, by notice to the creditor
(b) By the surety, as to future transactions, by notice to the creditor
(c) By the creditor, as to future transactions, by notice to the principal debtor
(d) By the principal debtor, as to future transactions, by notice to the creditor
(e) By the very mutual consent or agreement of all the parties to the transaction

26. A bailment is the delivery of goods by one person to another for some purpose, upon a contract that they
shall ______________
(a) When the purpose is accomplished, be returned or otherwise disposed of according to the directions
of the person receiving them
(b) When the purpose is accomplished, be returned or otherwise disposed of according to the directions
of the person delivering them
(c) With the purpose to dispose of the goods according to the directions of the person receiving them
(d) When the purpose of goods as security for payment of a debt or performance of a promise if fulfilled
be returned
(e) None of the above

27. A contract of Agency can be terminated by the principal revoking his authority; or by the agent
renouncing the business of the agency; or by the business of the agency being completed; or by either
the principal or agent dying or becoming of unsound mind; or______________
(a) By the principal being adjudicated an insolvent under the provisions of any Act for the time being in
force for the relief of insolvent debtors
(b) By the agent being adjudicated an insolvent under the provisions of any Act for the time being in force
for the relief of insolvent debtors
(c) By either party being adjudicated an insolvent under the provisions of any Act for the time being in
force for the relief of insolvent debtors
(d) By the third person being adjudicated an insolvent under the provisions of any Act for the time being
in force for the relief of insolvent debtors
(e) None of the above

28. An audit committee is required to be constituted by the Board of Directors of _________________

(a) Every Listed Public Company
(b) Public Companies having paid up share capital of ten crore rupees or more
(c) Public Companies which have, in aggregate, outstanding loans, debentures and deposits, not
exceeding fifty crore rupees
(d) All a, b & c
(e) Both a & b
29. Where an appeal is preferred against any order of the Recovery Officer, under section 30, by any person
from whom the amount of debt is due to a bank or financial institution or consortium of banks or financial
institutions, such appeal shall not be entertained by the Tribunal ________________
(a) Unless such person has deposited with the Tribunal twenty per cent of the amount of debt due as
determined by the Tribunal
(b) Unless such person has deposited with the Tribunal thirty-five per cent of the amount of debt due as
determined by the Tribunal
(c) Unless such person has deposited with the Tribunal fifty per cent of the amount of debt due as
determined by the Tribunal
(d) Unless such person has deposited with the Tribunal such amount as the Tribunal may determine
(e) Unless the approval of the Recovery Officer has been obtained in writing

30. _______________ shall provide the Tribunal with one or more Recovery Officers and such other officers
and employees as it may be deemed fit
(a) Central Government (b) State Government
(c) Appellate Tribunal (d) Either a, b or c
(e) Central Government in consultation with the State Government

31. What does the term Lok Adalat mean?

(a) It is one of the alternative dispute redressal mechanisms
(b) A forum where disputes pending in the court of law or at pre-litigation stage are settled or
compromised
(c) A forum where disputes pending at pre-litigation stage are settled or compromised
(d) All a and b or c
(e) Both b & c

32. A company limited by guarantee means a company having the liability of its members _____________
(a) Limited by the memorandum to such amount as the members may respectively undertake to
contribute to the assets of the company in the event of its being wound up
(b) Limited by the articles to such amount as the members may respectively undertake to contribute to
the assets of the company in the event of its being wound up
(c) Limited to such amount as the members may respectively undertake to contribute to the assets of the
company in the event of its being wound up
(d) Unlimited by the memorandum to such amount as the members may respectively undertake to
contribute to the assets of the company in the event of its being wound up
(e) None of the above

33. A company limited by shares means a company having the liability of its members limited by the
memorandum ____________
(a) To the amount, if any, secured on the shares respectively held by them
(b) To the amount, if any, paid on the shares respectively held by them
(c) To the amount, if any, unpaid on the shares respectively held by them
(d) To such amount as the members may undertake to contribute to the assets of the company in the
event of its being wound up
(e) To such amount as the members may undertake to contribute to the assets of the company

34. The fast-track corporate insolvency resolution process shall be completed within ___________
(a) A period of thirty days from the insolvency commencement date
(b) A period of ninety days from the insolvency commencement date
(c) A period of two-eighty days from the insolvency commencement date
(d) A period of three-thirty days from the insolvency commencement date
(e) A period of three-eighty days from the insolvency commencement date
35. The committee of creditors, may, in the first meeting, ________________________, either resolve to
appoint the interim resolution professional as a resolution professional or to replace the interim resolution
professional by another resolution professional.
(a) By the vote of the members present in the meeting
(b) By a majority vote of not less than sixty-six per cent of the voting share of the financial creditors
(c) By a majority vote of not less than seventy-five per cent of the voting share of the financial creditors
(d) By a majority vote of not less than seventy-five per cent of the voting share of the financial creditors
as well as the operational creditors
(e) None of the above

36. The application made for the initiation of the CIRP to the Adjudicating Authority should be accepted or
rejected by the Authority within__________________
(a) Seven days (b) Fourteen days
(c) Twenty-one days (d) Thirty days (e) Ninety days

37. What is the time period within which a Banking Company is required to deal or trade in any immovable
property acquired by it for its own use?
(a) Period exceeding seven years from the acquisition thereof or from the commencement of this Act,
whichever is earlier
(b) Period not exceeding seven years from the acquisition thereof or from the commencement of this Act,
whichever is later
(c) Period not exceeding seven years from the acquisition thereof or from the commencement of this Act,
whichever is earlier
(d) Period not exceeding seventeen years from the acquisition thereof or from the commencement of this
Act, whichever is earlier
(e) Period as may be decided by the Reserve Bank of India in any particular case, as may be required

38. Which of the following is correct with respect to the award made by a Lok Adalat?
(a) Be deemed to be a decree of a civil court
(b) Be final and binding on all the parties to the dispute
(c) No appeal shall lie to any court against the award
(d) All a, b and c
(e) Both a & b

39. Any money transferred to the Unpaid Dividend Account of a company and which remains unpaid or
unclaimed for a period of ___________ from the date of such transfer shall be transferred by the
company along with interest accrued, if any, thereon to the Investors Education and Protection Fund
(a) Seven days (b) Seven months
(c) Seven years (d) Seventeen days
(e) Seventeen months

40. The National Commission for Scheduled Castes is established as per Art_____ of the
Constitution?
(a) 338 (b) 332 (c) 335 (d) 336 (e) 339

41. A mortgages a piece of land to B and later on builds a house thereon, which of the following conditions is
applicable?
(a) The house is not a part of mortgage loan security.
(b) The house is also subjected to mortgage and a security along with piece of land.
(c) B has a choice in between the piece of land or the house for security.
(d) A shall decide one of both the things as security of mortgage loan.
(e) Any of b, c and d.
42. Appointment of receiver as per s.69 A of the Transfer of Property Act, shall be made by:
(a) Mortgagor (b) Mortgagee
(c) As per terms of mortgage deed (d) Creditor (e) Surety

43. Gift made to 2 donees, one does not accept the gift, his interest:
(a) Shall be void.
(b) Shall be accepted by other donee.
(c) May be accepted by other donee.
(d) Accepted by other donee only when both donees accept their interests.
(e) As per the terms of gift deed.

44. What is the limitation period for money in account that is payable on demand?
(a) 3 years (b) 2 years. (c) 6 months. (d) 12 years. (e) 7 years.

45. To transfer property is:

(a) To transfer proprety to any living person
(b) To transfer property to any living person and himself.
(c) To transfer property at a future date.
(d) A and C.
(e) All of the above.

46. If a partner earns any personal profits from the business of the firm:
(a) He shall account for 50% of it to the firm
(b) He shall account for only his interest in the firm.
(c) He shall account it back to the firm.
(d) He shall not earn any personal profits of the firm, if earned he shall be expelled immediately.
(e) None of the above.

47. Mortgaged property is leased and the Mortgagor redeems the mortgage:
(a) He shall get benefits of renewed lease.
(b) He shall not get benefits of lease.
(c) Mortgagee only gets the benefit of lease.
(d) Redemption has no effect on lease.
(e) Lease transaction is different from mortgage and not affected by it.

48. No. of arbitrators in an arbitral tribunal shall be:

(a) 10 (b) 5
(c) 6 (d) Not fixed
(e) As determined by parties but not even.

49. What is the jurisdiction of District Commission ?

(a) 19 lakhs (b) 10 lakhs (c) 50 lakhs (d) 1 crore (e) 99 lakhs.

50. When a party has given a notice to produce documents, the other party shall:
(a) Produce documents for inspection within 3 days.
(b) Produce documents from inspection within 10 days.
(c) Revert within 3 days.
(d) Deliver a notice for inspection to be carried out in 3 days at office of pleader.
(e) Deliver a notice for inspection to be carried out in 10 days at office of pleader.

51. Which order of CPC discussed about Plaint?

(a) Order VI (b) Order VII (c) Order VIII (d) Order IX (e) Order V
52. Right to equality is provided under Article/s of the Constitution?
(a) Art. 14, 15 and 16 (b) Art. 14nd 15
(c) Art 14-18 (d) Art 14 (e) Art 14-17.

53. Mortgage by deposit of title deeds is a type of mortgage in which :

(a) Title deeds are deposited
(b) Clear title-Property is mortgaged.
(c) Property is mortgaged with original documents of owner also in custody of mortgagee.
(d) Title deeds are deposited along-with possession of property.
(e) None of the above.

54. Transactions altering assets and liabilities in India of residents outside India:
(a) Capital account transactions (b) Current account transactions.
(c) Either a or b (d) Both a and b.
(e) Foreign account transactions.

55. A vice president can act as a president maximum for the period of:
(a) 12 months (b) 6 months.
(c) 8 months (d) Till next president is appointed.
(e) 90 days.

56. A firm shall___________ for wrongful acts of a partner.

(a) Not be liable.
(b) Be liable
(c) Liable (only if some profit earned by company.
(d) Partially liable
(e) None of the above.

57. Is there any limitation period prescribed to bring the Legal Representatives on record in a case ? If yes,
then what it is?
(a) No period prescribed (b) 6 months
(c) 3 months (d) 12 months
(e) 3 years

58. Arbitration procedure in India is regulated by?

(a) The Arbitration & Conciliation act, 1996. (b) The Arbitration Act, 1940.
(c) UNCITRAL (d) Model law of UNCITRAL
(e) None of the above.

59. Any arrangement requiring a purchaser of goods, as a condition of such purchase, to purchase some
other goods is:
(a) Tier agreement (b) Tie-in agreement
(c) Agreement to tie (d) Tyre agreement
(e) No such agreement exists

60. On the death of a partner, when can the partnership business continue?
I. When there are more than 2 partners in the firm
II. When there are 2 or more than 2 partners in the firm
III. When the legal representative is interested in taking forward the business
IV. When the partnership deed is silent on the dissolution clause on death of a partner
(a) I and II (b) I and III (c) I and IV (d) I, II and III (e) I, III and IV
 ANSWER KEY WITH EXPLANATION

1. (b) Third day 29. (c) Unless such person has deposited with the
2. (d) 20% Tribunal fifty per cent of the amount of debt due
3. (d) 148 as determined by the Tribunal
4. (e) All a, b and c 30. (a) Central Government
5. (c) District Magistrate 31. (d) All a and b or c
6. (d) Both a and c 32. (a) Limited by the memorandum to such amount as
7. (d) Re-examination with the permission of court the members may respectively undertake to
8. (b) 82 contribute to the assets of the company in the
9. (c) Section 78 event of its being wound up
10. (c) Not an offence if he was incapable of knowing 33. (c) To the amount, if any, unpaid on the shares
the nature of the offence respectively held by them
11. (b) A police officer has authority to arrest without 34. (b) A period of ninety days from the insolvency
warrant commencement date
12. (c) Court shall take cognizance of such offence with 35. (b) By a majority vote of not less than sixty-six per
the previous sanction of Central Government if cent of the voting share of the financial creditors
the person was employed in connection with the 36. (b) Fourteen days
affairs of Union 37. (b) Period not exceeding seven years from the
13. (d) Both a and b acquisition thereof or from the commencement of
14. (e) the Court shall take assistance of interpreter and this Act, whichever is later
such statement shall be video-graphed 38. (d) All a, b and c
15. (c) In a summons-case where the Court has 39. (c) Seven years
dispensed with the personal attendance of the 40. (a) 338
accused 41. (b) The house is also subjected to mortgage and a
16. (c) By writing his name across the stamp with the security along with piece of land.
date 42. (b) Mortgagee
17. (b) July 1 1899 43. (a) Shall be void.
18. (e) All of the above 44. (a) 3 years
19. (a) Twice the amount involved in contravention or 45. (e) All of the above.
default 46. (c) He shall account it back to the firm.
20. (e) All I, II, III 47. (a) He shall get benefits of renewed lease.
48. (e) As determined by parties but not even.
21. (d) Both a & b 49. (c) 50 lakhs
22. (c) At any time before the communication of its 50. (d) Deliver a notice for inspection to be carried out in
acceptance is complete as against the proposer, 3 days at office of pleader.
but not afterwards 51. (b) Order VII
23. (a) Wagering agreements are voidable 52. (c) Art 14-18
24. (a) Void, whether the impossibility of the event is 53. (a) Title deeds are deposited
known or not to the parties to the agreement at 54. (a) Capital account transactions
the time when it is made 55. (b) 6 months.
25. (b) By the surety, as to future transactions, by notice 56. (b) Be liable
to the creditor 57. (c) 3 months
26. (b) When the purpose is accomplished, be returned 58. (a) The Arbitration & Conciliation act, 1996.
or otherwise disposed of according to the 59. (b) Tie-in agreement
directions of the person delivering them 60. (e) I, III and IV
27. (a) By the principal being adjudicated an insolvent
under the provisions of any Act for the time being
in force for the relief of insolvent debtors
28. (e) Both a & b