Paper 6 Laws and Ethics | CMA Intermediate True or False with answer

 

CMA INTERMEDIATE EXAMINATION

Paper 6 Laws and Ethics




Paper 6 Laws and Ethics True or False

A. State whether the following are True or False  

1) An agreement which is impossible is void. True

2) In case of expulsion of a partner, the provisions of retired partners will be applicable to such expelled partner. True

3) Sickness benefit is paid up to a maximum day of 60 days in a year. False

4) A director in the whole time employment of the Company is called Whole Time Director. True

5) Contribution to pension scheme is recoverable when employee crosses 58 year of age. False


B. State whether the following are True or False  

1) Gratuitous bailment continues even after the death of either of the bailor or bailee. False

2) A holder is not having right to duplicate of lost bill, before it is overdue. False

3) Fine may be recovered from the employed person by installments. False

4) Share certificate is a negotiable instrument. False

5) The businessmen who do not follow business ethics will have short term success, but they will fail in the long run. True


C. State whether the following are True or False  

1) Goods to be manufactured or produced or acquired by the seller after making of the contract of sale are called future goods. True

2) The first endorsement of an instrument can be made by the Banker. False

3) Payment of Gratuity Act, 1972 applies to every shop and establishment employing seven or more persons. False

4) In case of e-voting, notice shall be sent as attachment in word file. False

5) Ethics is a requirement for human life. True


D. State whether the following are True or False  

1)The seller of the goods is not bound to deliver them until the buyer applies for the delivery. True

2)The partners of a LLP may remove an auditor from office at any time by following the procedure as laid down in the LLP agreement. True

3)The certificate of fitness granted by the certifying surgeon shall be valid for a period of 24 months from the date thereof. False

4)The e-voting shall remain open for not less than 3 days and shall close at 5.00 P.M. on the date preceding the date of general meeting. True

5)The term 'ethics' derived from French word 'ethos' which means character. False


E. State whether the following are True or False  

1) In an agreement to sale, the buyer is entitled to recover the same from the official liquidator in case of insolvency of the seller. False

2) The term 'employed person' includes the legal representatives of a deceased employed person. True

3) Payment of Gratuity Act, 1972 applies to every shop and establishment employing seven or more persons. False

4) Any misstatement in the prospectus would attract the liability on the issuer. True

5) Continuous improvement or kaizen is a popular theme. True