Sample/practice exam 2016, questions and answers PDF

Title Sample/practice exam 2016, questions and answers
Course Accountancy
Institution Polytechnic University of the Philippines
Pages 18
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Summary

Warning: TT: undefined function: 32 Warning: TT: undefined function: 32CHAPTER 2QUESTIONS ANSWERS ARTICLE PAGEBautista, Norshelle S. When does an offer becomes a counter-offer? An offer becomes a counter- offer when the original offer was rejected and an attempt by the parties to enter into a contra...


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CHAPTER 2 QUESTIONS Bautista, Norshelle S. 1. When does an offer becomes a counter-offer?

ANSWERS

ARTICLE

PAGE

1. An offer becomes a counteroffer when the original offer was rejected and an attempt by the parties to enter into a contract on a different basis. It is an offer made in response to a previous offer by the other party during negotiations for the contract.

Article 1319

Pg. 335

2. Is the object of the obligation also the object of the contract? Explain.

2. It is said that the object of every contract is the obligation created. But since a contract can’t exist without an obligation, it may be said that the thing which is the object of the obligation is also the object of the contract.

Article 1347

Pg. 371

3. What will happen to a contract if there is absence of cause?

3. If there is absence of cause there is a total lack of any valid consideration for the contract. Also it confers no right and produces no legal effect.

Article 1352

Pg. 381

1. False because Bus. Adv are not definite offers but are just mere invitations to make an offer

Article 1325

Pg. 341

2. To fly like a bird is an example of what kind of physical impossibility?

2. Absolute

Article 1348

Pg. 374

3. Differentiate Cause from Motive

3. Cause is always known while Motive may be unknown Cause is an essential element of the contract while motive isn’t. Cause is the direct reason while Motive is the indirect reason

Article 1351

Pg. 380

Gatlabayan, Mark Bien I. 1. T or F: Business Advertisements of things for sale are definite offers acceptance of which will perfect a contract. Explain

Tenorio, Femalyn 1. Khat offered his car to Tryll for Php300,000.00, but Tryll cannot immediately make a decision whether to buy it or not so he requested for a period of five days within which to make his decision. Khat granted the request of Tryll. Three days later, Khat told Tryll that he is no longer interested to sell his car. Is the withdrawal of the offer valid?

Yes because it was made before the offer was accepted. However, if Tryll paid a consideration for the exercise of the period given, Khat is duty bound to wait for the expiration of the period; otherwise, Tryll shall be liable for the damages.

Article 1324

page 339

2. Why future thing may be the object of the contract unlike future inheritance which cannot be the object of the contract?

Because future things are things to be manufactured , raised or acquired after the perfection of contract, it is capable of coming into existence unlike future inheritance which is the property or right that a person may inherit in the future which is not in existence or capable of determination at the time of the contract. But still, there are instances, such as cases expressly authorized by law, which allows the future inheritance to be subject of the contract.

Article 1347 & 1348

pages 372-373

3. There is a contract of murder, is it valid or not? Why?

The contract, although it has cause, is still null or void because its cause is illegal and therefore is unlawful. Article 1352 includes the requisites of cause and it is stated there that this cause must be lawful.

Article 1352

page 381-382

1. Here, only Andrea (offerer) has promised to do something. If Y accepts the offer by promising to do the requested act, then it will result to a bilateral contract. There are promises on both sides.

Article 1320

Pg. 336

Soriano, Clarisse Joy L. 1. Andrea promises to pay Zandra P3000 for fixing her television and making it work again. How can this situation turn into a bilateral contract?

2. Clarisse thought that Elaine was her half-sister, and so, donated her salon to Elaine. It turned out that Elaine is not related to Clarisse. Does this mistake vitiate consent?

2. Yes. Although mistake as regards to identity and qualifications of a party does not vitiate consent, in this case, it is an exception because the identity or qualifications have been the principal cause of the contract.

Article 1331

Pg. 350

3. Why are promises made in gratitude for good deeds of others cannot be enforced?

3. Because they constitute only moral, not legal, considerations.

Article 1352

Pg.382

1. No because the contact details are missing which is necessary to make the advertisement as a definite offer

Article 1325

Pg.341

2. Contracts concerning future inheritance is voidable, true or false?

2. -False, contracts upon future inheritance is void except in cases expressly authorized by law

Article 1347

Pg.374

3. When can a motive be regarded as the cause in a contract?

3. - A motive can be regarded as the cause of the contract when it is founded upon fraudulent purpose to prejudice a third person

Article1351

Pg.380

1. True

Article 1323

Pg. 338

2. 2. X was proven a prodigal, therefore he can give consent to accept the offer. True or False?

2. False.

Article 1329

Pg. 345

3. A consent must be intelligent, mandatory and conscious or spontaneous. True or False?

3. False

Article 1330

Pg. 346

Gravito, Danica M. 1. For Sale: 400 square meters lot at ESLA Subdivision, Brgy Sto. Domingo, Cainta Rizal for P1,500,000 cash----is this a definite offer?why or why not?

Albaño, Jaicyl Anne 1. An offer may be revoked or withdrawn at any time before it is accepted merely by communicating such intentions to the other partly. True or False?

Alfajaro, Ma. Annaliza A. 1. Is a contract entered by an unemancipated minor or a demented person valid?

1. Yes it is valid but voidable

Article 1327

Pg. 342

2. If the creditor held the debtor's wife or sister hostage to threaten the debtor to sign a contract, does it vitiate the consent?

2. Yes because it amounts to intimidation and according to Art. 1335, if there is violence or intimidation, it results to vitiating the consent.

Article 1335

Pg. 355356

3. A sells his land to B for Php 2,000,000 but its original worth is Php 1,000,000 only. Will it make their contract invalid?

3. No, because the fact that the bargain is unequal when both parties are in a position to form an independent judgment concerning the transaction is not a sufficient ground for the cancellation of contract.

Article 1355

Pg. 386

1. To rescind is to declare a contract void in its inception and to put an end to it as though it never were while the termination or cancellation of a contract would necessarily entail enforcement of its terms prior to the declaration of its cancellation.

Article 1305

Pg. 443444 (Taken from the PDF version of the book)

Articles 1315 and 1316

Pg. 323

Article 1305

Pg. 307308

Azarcon, Shania Via D. 1. State the difference of a termination and rescission of a contract.

2. What is the correct order of the stages in the life of a contract? a. Birth, Negotiation, and Termination b. Consummation, Preparation, and Perfection c. Preparation, Perfection and Consummation d. None of the above

2. C.

3. What is not a classification of contract according to cause? a. Nominate b. Gratuitous c. Onerous d. Remuneratory

3. A. Nominate is classified under according to name or designation

Biag, John Paul T. 1. Mac jokingly offered his phone worth P20, 000 to B. Is the offer valid?

1. The offer is not valid because it is made in jest or anger indicating that the same is not seriously intended

Article 1319

Pg.334

2. True or false: A partial payment of the purchase price is an option money

2. False. A partial payment of the purchase price is an earnest money

Article 1324

Pg.339

3. How can a minor be emancipated? Give 2 examples

3. A minor can be emancipated by attainment of the age of majority, by marriage, or by the concession recorded in the Civil Register, of the father or of the mother who exercises parental authority

Article 1327

Pg.343

1. Yes, because the identity was the principal reason or consideration for the donation.

Article 1331

Pg. 350

2. During this interval, a contract entered-into by an insane person can be valid?

2. Lucid Interval

Article 1328

Pg. 343

3. When a person failed to disclose facts when there is a duty to reveal them and bound by confidential relations, would that be considered as a fraudulent act?

3. Yes, according to Art. 1339, it is considered as a fraud through concealment and is equivalent to false representation.

Article 1339

Pg.361

1. Yes, the threat of the traffic enforcer amounts to intimidation because his claim is not just or legal

Article 1335

Pg. 356

2. It is any property or right, not

Article 1347-1348

Pg. 373

Bariring, Margarita C. 1. Walter donated his house to Kong. Walter thought that Kong was his son, but it turns out that they are not related. Is the mistake regarding identity in this problem material to vitiate consent?

Caparas, Jessner R. 1. A jeepney driver committed a violation of the traffic rules. A traffic enforcer threatens the driver that he will issue a fine/penalty unless he gives him P500. Is it considered intimidation? 2. What is future inheritance?

in existence or capable of determination at the time of the contract, that a person may inherit in the future. 3. Marcelo sold a computer set to Charles, informing Charles that all the parts are functioning well even though the truth is the cpu has a defect. If Charles buys the computer set, what can Charles do after knowing the truth?

3. He may annul it on the ground of fraud.

Article 1338

Pg. 359

1. (a) Unemancipated Minors (b) Insane or Demented Persons (c)Deaf Mutes

Article 1327

Pg. 342

2. What are the characteristics of consent?

2. (a) It is intelligent (b) It is free and voluntary (c)It is conscious or spontaneous

Article 1330

Pg. 346

3. Is motive essential to the contract? Yes or No? Explain.

3. No. cause of the contract is essential to the contract, and not the motive.

Article 1351

Pg. 380

1. Yes, the offer must be certain or definite so that the liability (or the rights) of the parties may be exactly fixed because it is necessary that the acceptance be identical with the offer to create a contract without any further act on the part of the error.

Article 1319

Pg. 334

2. In what way was the causal fraud may be committed?

2. Through insidious words or machinations or by concealment.

Article 1338

Pg. 359

3. What are the requisites of cause?

3. a) It must exist at the time the contract is entered into; b) It must be lawful; and c) It must be true or real.

Article 1352

Pg. 381

Bosi, Rosel A. 1. Who are the people that can’t give consent?

Buenaflor, Pia Josette S. 1. Is the offer must be certain and seriously intended?

Cajanding, Jomer P. 1. Why does the statement “I am willing to buy your car.” has no offer?

1. There is no offer because it is incomplete. No price is given.

Article. 1319

Pg. 511 (pdf)

2. Refers to the privilege itself given to the offeree to accept an offer within a certain period.

2. Option

Article 1324

Pg. 527 (pdf)

3. Absence of cause should be distinguished from ____________ which, as a general rule, in not a ground for relief, and from failure of cause which does not render a contract void.

3. Inadequacy of cause

Article.1352

Pg. 618 (pdf)

1. Causal Fraud

Article 1338

Pg. 359

2. While walking in Quiapo, M was hypnotized and was made to enter a contract. The contract is: void voidable rescissible unenforceable

2. b. voidable

Article 1328

Pg. 343

3. M, a journalist and an certified public accountant, is a deaf-mute. Are all the contracts he enters into considered valid?

3. Yes. Because, as a CPA, he is presumed to be able to read and write, therefore, the contracts he enters into are valid.

Article 1327

Pg. 343

1. Violence

Article 1335

Pg. 354

2. Motive

Article 1351

Pg. 380

Canja, Benedict B. 1. Through insidious words or machinations, A was able to induce B to enter into a contract which without them B would not have agreed to it. There is:

Despabiladeras, Harvey M. 1. It exists when serious or irresistible force is employed to obtain consent. 2. The particular reason of a party in entering into a contract.

3. T/F The contract is not voidable if both parties employed fraud to obtain consent.

3. True. The contract is valid. “he who comes to court, must come with clean hands

Article 1344

Pg.366

1. Onerous contract

Article 1350

Pg. 379

2. Characteristics of acceptance.

2. Clear and Absolute

Article 1319

Pg. 335

3. The particular reason of a party in entering into a contract.

3. Motive

Article 1351

Pg. 380

1. Yes, it can be determined as a disqualification by law as an unsound mind

Article 1328

Pg. 343

2. When does opinion become fraud?

2. An opinion must be explicitly stated as such and is not reliable in the knowledge of a party as a fact especially if it is false

Article 1341

Pg. 360

3. Simulation of contract is void

3. Unless it is deliberately made to deceive others a simulation can be made to conceal the agreement of two parties

Article 1346

Pg. 367

1. Accidental Elements

Article 1319

Pg. 334

2. Jan offers to comstruct the house of Marbfor a very reasonable price of P200,000,000 giving the latter 20 days within which to make up his mind. Can Jan withdraw the offer even before the lapse of 20 days?

2. Yes. According to Art.1324, Jan may withdraw the offer before the lapse of 20 days unless Mar has already accepted the offer

Article 1324

Pg.340

3. B is buying from A, a breeding dog, but B is selling a barren

3.Mistake regarding object

Article 1331

Pg. 349

Dela Cruz, Paul Vincent 1. A contract whose cause is the promise of a thing or service of the other party.

Dela Cruz, Yzhraelle Faith R. 1. Can patients that made contracts within a lucid interval get out of a contract while outside of the lucid interval?

Faustino, Maria Joshie H. 1.These are the particular stipulations, clauses, terms, or conditions established by the parties in their contract.

dog, what type of mistake of fact that does not vitiate consent is it? Guong, Angela Nhycole Problem: S offer to sell his Iphone to B for ₱5,000 giving the latter a week to accept his offer.

1.No, As a general rule, S can withdraw his offer if B has not paid or promised to pay for the consideration of period

Article 1324

Pg. 527 (De Leon, pdf version)

2. Can S withdraw his offer even after the acceptance of B? (Refers to Problem Above)

Yes, in a contract of buy and sell, if B accepts the offer but has not yet paid the price, S can still withdraw his offer even after the acceptance of B.

Article 1324

Pg. 530 (De Leon, pdf version)

Problem: B, a minor, threatens to kill S if the latter will not accept the offer. B has no gun or any life - threatening objects. S accepts the offer.

No, an intimidation made by a minor who has no gun or anything will not constitute a serious and well-grounded fear. Art. 1335 states that to determine the degree of the intimidation, the age, sex and condition of the person shall be borne in mind.

Article 1335

Pg. 566 (De Leon, pdf version)

1. In the given case the buyer being an IT specialist is assumed to have all the knowledge and means to discern whether the laptop is a gaming device or not, especially when he have all the time to inspect the device before proceeding with the purchase. According Article 1340, usual exaggerations in trade when the other party had an opportunity to know the facts, does not constitute fraud.

Article 1340 Article 1343

Pg. 362 Pg. 365

1. If S withdraw his offer to B before the period ends given that no acceptance is made by the latter, is S liable to B?

3. Is there an intimidation to vitiate consent in the problem?

Hernales, John Paul H. 1. John, an IT specialist bought a Laptop from Paul, a BSA student made through online market. The advertisement by Paul indicates that the item is a gaming device. At the date of meet-up, Paul let John inspect all the aspect of the unit. The two made a deal and the payment has been made. One week later, John alleges Paul of inducing him of committing a causal fraud because the laptop’s specification is not a gaming device. Having these facts, is there a fraud in the

contract? 2. P, a lawyer, sold all law books that can be found in his library to B. Is the contract valid knowing that there is no certainty as to the quantity of law books that there is?

2. Yes, the contract is valid, the fact that the quantity of the object of the contract is not determinate does not affect the validity of a contract provided that it is possible to determine the same, without the need of a new contract between the parties.

Article 1349

Pg. 375

3. A contract stated that Q sold his car to A for P 350 000.00. The fact, however, is that A gave a hundred grams of marijuana in lieu of P 350 000.00. Will the statement of this false cause make the contract void?

3. The false cause in the case is founded upon another cause which is unlawful. The contract in this case will be rendered void.

Article 1353

Pg. 381

1. No contract may be entered into upon future inheritance except in cases expressly authorized by law because the seller owns no inheritance while his predecessor lives.

Article 1347

Pg. 374

2. What happens when a bilateral contract is vitiated with vices of consent?

2. The contract is rendered defective so as to make the contract voidable.

Article 1330

Pg. 346347

3. Can a minor legally enter into a contract? Explain.

3. Yes, however, m...


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