CSS Special Exam Past Paper 2023 Mercantile Law MCQs (Part 1)
CSS | Past Paper | Group 6 | 2023 | Part 1 | MCQs | Special Exam
Below are the solved multiple-choice questions (MCQs) from the CSS Special Exam Past Paper 2023 Mercantile Law MCQs (Part 1). Each question includes all the options, the correct answer is bolded, and a short explanation is provided for clarity.
1. Which of the following is eligible to become the director of a company?
(A) Minor
(B) Un-discharged insolvent
(C) Person representing creditors
(D) None of these
💡 A minor, insolvent, or creditor’s representative is disqualified from directorship.
2. Statutory meeting of a company is held:
(A) Twice in a year
(B) Thrice in a year
(C) Once in a year
(D) None of these
💡 Statutory meeting is held only once in the lifetime of a company.
3. Special resolution means a resolution which has been passed by a majority of not less than:
(A) Simple majority
(B) Two-third majority
(C) Three-fourth majority
(D) None of these
💡 A special resolution requires at least 75% majority.
4. A company limited by shares, if so authorized by its articles may reduce its share capital:
(A) By special resolution and subject to the confirmation by court
(B) By special resolution and subject to the confirmation by commission
(C) By ordinary resolution and subject to the confirmation by court
(D) None of these
💡 Capital reduction requires a special resolution and court approval.
5. Annual general meeting of a company is held:
(A) Once in a life time of company
(B) Twice in a year
(C) Once in a year
(D) None of these
💡 AGM is compulsorily held once every year.
6. A public limited company must have:
(A) 2 directors
(B) 3 directors
(C) 7 directors
(D) Any of the above
💡 Minimum three directors are required for a public company.
7. When one person signifies to another his willingness to do or to abstain from doing anything, with a view to obtaining the assent of that other to such act or abstinence, he is said to make a:
(A) Promise
(B) Proposal
(C) Acceptance
(D) None of these
💡 Such willingness is legally called a proposal.
8. A contract which ceases to be enforceable by law is called:
(A) Void agreement
(B) Void contract
(C) Voidable contract
(D) None of these
💡 A valid contract that later becomes unenforceable is a void contract.
9. If any part of a single consideration for one or more objects is unlawful, that is called:
(A) Void contract
(B) Void agreement
(C) Voidable contract
(D) None of these
💡 An agreement with unlawful consideration or object is void.
10. A person who in the customary course of business as such agent has authority to sell, consign, or raise money on the security of goods is called:
(A) An agent
(B) Broker
(C) Mercantile agent
(D) None of these
💡 Such commercial authority defines a mercantile agent.
11. Goods identified and agreed upon at the time a contract of sale is made are called:
(A) Goods
(B) Specific goods
(C) Transferable goods
(D) None of these
💡 Goods identified at the time of contract are called specific goods.
12. Every kind of movable property other than actionable claims and money is called:
(A) Specific goods
(B) Goods
(C) Transferable goods
(D) None of these
💡 This is the statutory definition of “goods” under Sale of Goods Act.
13. A person who has signed a negotiable instrument without receiving value and for lending his name is called:
(A) Bearer
(B) Notary public
(C) Accommodation party
(D) None of these
💡 He lends his name for the benefit of another—called accommodation party.
14. A person who by negotiation comes into possession of a negotiable instrument is called:
(A) Bearer
(B) Accommodation part
(C) Banker
(D) None of these
💡 A bearer becomes holder by delivery through negotiation.
15. An instrument containing an unconditional undertaking signed by the maker to pay a certain sum is called:
(A) Bill of exchange
(B) Cheque
(C) Promissory note
(D) None of these
💡 This is the legal definition of a promissory note.
16. Where no provision is made by contract between partners for the duration of partnership, it is called:
(A) Partnership
(B) Partnership-at-will
(C) A firm
(D) None of these
💡 Such a partnership can be dissolved at any time by any partner.
17. A relation between persons who have agreed to share the profits of a business carried on by all or any acting for all is called:
(A) Individually partnership and collectively firm
(B) Individually a firm and collectively partnership
(C) Partnership
(D) None of these
💡 This is the statutory definition of partnership.
18. A person may become a partner with another person in particular adventures is called:
(A) Partnership-at-will
(B) Partnership
(C) Particular partnership
(D) None of these
💡 Partnership formed for a specific project is a particular partnership.
19. Where an arbitrator or umpire is removed under the Arbitration Act, he:
(A) Shall be entitled to receive remuneration
(B) Shall not be entitled to receive any remuneration
(C) Shall be entitled to receive partial remuneration
(D) None of these
💡 Removed arbitrator loses the right to remuneration.
20. Court have power to:
(A) Modify or correct but not to remit the award
(B) Remit but not to modify or correct the award
(C) Modify, correct or remit the award
(D) None of these
💡 Court enjoys full authority over modification, correction, and remission of awards.
📘 Benefits of Practicing These MCQs
- ✅ These CSS Special Exam Past Paper 2023 Mercantile Law MCQs are compiled from authentic FPSC CSS past papers to match the real exam format.
- 💬 Practicing this CSS Special Exam Past Paper 2023 Mercantile Law MCQs set builds strong conceptual clarity for upcoming CSS exams.
- 🧾 Every question in this CSS Special Exam Past Paper 2023 Mercantile Law MCQs collection follows the official CSS exam syllabus approved by FPSC.
- 📊 Students appearing in CSS Special Exam 2023 can rely on these Mercantile Law MCQs for focused and authentic revision.
- 🔍 The solved CSS Special Exam Past Paper 2023 Mercantile Law MCQs section includes clear, one-line explanations for quick understanding.
- 🎯 Revise these CSS Special Exam Past Paper 2023 Mercantile Law MCQs regularly to master key topics from the CSS exam syllabus and boost your score.
- 🏆 These CSS Special Exam Past Paper 2023 Mercantile Law MCQs are essential for mastering the FPSC exam pattern and achieving success in CSS.
🏁 Final Note
Keep revising these CSS Special Exam Past Paper 2023 Mercantile Law MCQs to strengthen your grip on important concepts and improve accuracy in upcoming CSS exams. Regular practice with these CSS Special Exam Past Paper 2023 Mercantile Law MCQs will help you score higher and build full command over the CSS exam syllabus.
👉 Also read CSS Special Exam Past Paper 2023 Mercantile Law (Part-II Descriptive)
📰 Check out other years’ past papers of Mercantile Law.
🔗 Check FPSC past papers directly from the official FPSC website.
