Business Law Exam Questions OBLIGATIONS Exam Questions with Accurate Answers.
Business Law Exam Questions OBLIGATIONS
1. It is a wrong committed
... [Show More] without any pre-existing relations between parties.
a. Natural obligations
b. Quasi-delict
c. Quasi-contract
d. Crime
2. One of the following is a determinate thing. Which is it?
a. a cow
b. a horse
c. a Toyota car with engine no. 12345, body no. 34890 and plate no. ABC 123
d. a ring with diamond embellishment
3. Demand must be made on the due date of the obligation in order for delay to exist in one of the
following cases. Which is it?
a. When it was stipulated by the parties that demand need not be made.
b. When the law provides that demand need not be made.
c. When the obligation does not indicate whether demand must be made or not on due date.
d. When time is of essence in the contract.
4. This refers to delay on the part of the creditor.
a. mora solvendi ex re
b. compensation morae
c. mora solvendi ex personae
d. mora accipiendi
5. There shall be no liability for loss due to fortuitous events in one of the following. Which is it?
a. When the debtor delays.
b. When the parties so stipulated that there shall be liability even in case of loss due to fortuitous events.
c. When the nature of the obligation require the assumption of risks.
d. When the obligation is to deliver a determinate thing and there was no stipulation as to the liability of
the debtor in case of loss due to fortuitous events.
6. The following are the remedies of the creditor to pursue his claims against the debtor, except to:
a. pursue the property owned in possession of the debtor
b. exercise all the rights and bring all the actions of the debtor (accion subrogatoria)
c. impugn the acts which the debtor may have done to defraud his creditors (accion pauliana)
d. compel the debtor to perform the service in obligations to do
7. D borrowed P50,000.00 from C. C dies before he has collected the debt leaving S, his son, as heir.
Which of the following statements is correct?
a. S can collect from D although D and C did not agree that the credit right will pass on to the heirs of C.
b. S cannot collect because the credit right is personal to C.
c. S can collect only if D and C agreed that the credit right will pass on the heirs of C.d. S cannot collect because the law prohibits the transmission of the credit right.
8. D is obliged to give C a specific car if C passes the CPA Licensure Examination. D’s obligation is an
example of:
a. a pure obligation.
b. an obligation with a suspensive condition
c. an obligation with a resolutory condition
d. an obligation with a period
9. One of the following obligations is not immediately demandable.
a. pure obligation
b. obligation with a resolutory condition
c. obligation with an in diem period
d. obligation with an ex die period
10. One of the following is a void obligation:
a. D is obliged to give C P5,000.00 if C does not go to the moon.
b. D is obliged to give C P5,000.00 if D goes to Baguio.
c. D is obliged to give C P5,000.00 if C goes to Baguio.
d. D is obliged to give C P5,000.00 if D wins first prize in the sweepstakes on a ticket that he had already
purchased.
11. D is obliged to give C P10,000.00 if X dies. This is an example of:
a. an obligation with a suspensive condition
b. an obligation with a resolutory condition
c. an obligation with a period
d. a pure obligation
12. D is obliged to give C a specific ring. The parties agreed that D may give a specific bracelet as
substitute. Which of the following statements is true?
a. If the ring is lost through a fortuitous event before substitution, the obligation is extinguished.
b. If the bracelet is lost through a fortuitous event before substitution, the obligation is extinguished.
c. If the ring is lost through a fortuitous event after substitution, the obligation is extinguished.
d. If the ring is lost through the debtor’s fault after substitution, the debtor shall pay damages.
13. A, B, C and D are obliged to give V, W, X, Y and Z P20,000.00
a. V may collect from A P20,000.00
b. V may collect from A P5,000.00
c. V may collect from A P1,000.00
d. V may collect from A P4,000.00
14. A, B, C and D, joint debtors, are obliged to give V, W, X, Y and Z, solidary creditors, P20,000.00
a. V may collect from B P20,000.00
b. V may collect from B P4,000.00
c. V may collect from B P5,000.00d. V may collect from B P1,000.00
15. A, B, C and D, solidary debtors, are obliged to give V, W, X, Y and Z, joint creditors, P20,000.00
a. V may collect from C P20,000.00
b. V may collect from C P4,000.00
c. V may collect from C P5,000.00
d. V may collect from C P1,000.00
16. A, B, C and D, solidary debtors, are obliged to give V, W, X, Y and Z, solidary creditors, P20,000.00
a. V may collect from D P20,000.00
b. V may collect from D P4,000.00
c. V may collect from D P5,000.00
d. V may collect from D P1,000.00
17. A, 25, B, 35, and C, 17, are solidary debtors of X in the amount of P9,000.00
a. X may collect from A P9,000.00
b. X may collect from A P6,000.00
c. X may collect from A P1,000.00
d. X may collect nothing because the obligation is voidable, C being a minor.
18. The following obligations are divisible, except an obligation:
a. to give definite things.
b. which has for its object the execution of a certain number of works.
c. which has for its object the accomplishment of work by metrical units.
d. which by its nature is susceptible of partial performance.
19. in obligations with a penal clause, the creditor as a rule may recover from the debtor in case of
breach of the following;
a. the penalty as agreed upon, plus damages and interest
b. the penalty and damages
c. the penalty and interest
d. only the penalty
20. Consider the following statements:
I. The nullity of the principal obligation carries with it the nullity of the penal clause.
II. The nullity of the principal obligation does not carry with it the nullity of the penal clause.
III. The nullity of the penal clause carries with it the nullity of the principal obligation.
IV. The nullity of the penal clause does not carry with it the nullity of the principal obligation.
a. Statements I and III are true.
b. Statements I and IV are true.
c. Statements II and III are true.
d. Statements II and IV are true.
21. D borrowed from C P50,000.00. The obligation is secured by a chattel mortgage on D’s Toyota car.Subsequently, D paid C P20,000.00. Unknown to D, a third person, pays C P50,000 believing that D still
owed C such amount.
a. T can recover P50,000.00 from D. If D cannot pay, T can foreclose the mortgage on D’s Toyota car.
b. T can recover nothing from D because he paid C without the knowledge and consent of D.
c. T can recover P30,000.00 from D. If D cannot pay, T can foreclose the mortgage on D’s Toyota car.
d. T can recover P30,000.00 from D. If D cannot pay, T cannot foreclose the mortgage on D’s Toyota car.
22. The following statements concerning payment by cession are true, except one. Which is it?
a. The creditors become the owners of the properties of the debtor that were ceded to them.
b. Payment by cession extinguishes the obligations only to the extent covered by the proceeds of the
sale of the debtor’s properties.
c. The debtor must be insolvent.
d. Cession affects all the properties of the debtor except those exempt from execution.
23. Consignation alone without any tender of payment is sufficient in the following cases, except:
a. when the creditor is absent or unknown or does not appear at the place of payment.
b. when the creditor presents the title to the obligation for collection.
c. when without just cause, the creditor refuses to give a receipt.
d. when two or more persons claim the same right to collect.
24. M owes P P10,000.00. The obligation is evidenced by a promissory note. Subsequently, P assigned
the note to A, A to B, B to C, and C back to M. The obligation of M is extinguished by:
a. compensation
b. confusion
c. condonation
d. The obligation is not extinguished because there was no payment
25. In order that condonation may extinguish an obligation involving a movable property whose value
exceeds P5,000.00—
a. It is sufficient that the condonation and the acceptance are in writing, even a private one.
b. It is required that the condonation and the acceptance be in a public instrument.
c. The delivery of the document evidencing the debt is sufficient since the property is movable.
d. The condonation and the acceptance may be made orally.
26. Henry, husband, and Wilma, wife, are legally separated. By order of the court which decreed the
legal separation, Henry is obliged to give a monthly support of P10,000.00 to Wilma payable within the
first five days of the month. Wilma owes Henry P10,000.00 by way of business loan. On the other hand,
Henry has not yet given Wilma’s support of P10,000.00 for this month. Both debts are already due.
Which of the following statements is correct?
a. Both debts are extinguished by legal compensation because both are already due.
b. Wilma may claim compensation but not Henry.
c. Henry may claim compensation but not Wilma.
d. Neither one may claim compensation because the debts are not of the same kind.27. D owes C P10,000.00 with G as guarantor. C, on the other hand, owed D, P8,000.00. Both days are
already due but D is insolvent. In this case—
a. C may collect from G P10,000.00.
b. C may collect from G P2,000.00 because a guarantor can set up compensation as regards what the
creditor owes the principal debtor.
c. C may collect nothing from G because D is insolvent.
d. C may collect P8,000.00 from G.
28. On July 1, 2010, D obliged himself to give C a specific car if C will not marry X on or before December
31, 2010. The condition of the obligation is a:
a. positive condition.
b. negative condition.
c. divisible condition.
d. impossible condition.
29. D owes C P5,000.00. T, a third person and without any intention to be reimbursed by D, paid the debt
without the consent of D. C accepted the payment.
a. The payment did not extinguish the debt of D to C because it was made without the consent of D.
b. The payment did not extinguish the debt because it was not made by D himself.
c. The payment is considered valid because it was accepted by the creditor.
d. The payment may be considered valid if T had the intention to be reimbursed.
30. D owes C P6,000.00. No date payment was stipulated by the parties.
a. C cannot require D to pay because there is no date for payment.
b. C can require D to pay at anytime.
c. D is not liable to C because the obligation is void there being no date of payment.
d. D is not required to pay unless C goes to court and asks the court to fix a period of the payment.
31. Which of the following is not considered a conditional obligation?
a. D to pay C P5,000.00 as soon as D has the means.
b. D to pay C P5,000.00 if C marries Y.
c. D to pay C P5,000.00 if C tops the CPA Examinations.
d. D to pay C if X dies of malaria.
32. Legal compensation shall not be proper in three of the following cases. Which is the exception?
a. Commodatum.
b. Civil liability arising from a criminal offense.
c. Gratuitous support.
d. Bank deposit.
33. Cecilia, the owner of a Sari-sari store, purchased several bags of “Dulcita” candy worth P5,000.00
from Olga, an authorized dealer of the product. On due date, Cecilia, who sells the candies at P1.00
each, tendered her payment to Olga consisting of 5,000 pieces of P1.00 coins.
a. Olga may refuse to accept the payment and demand that she be paid in bills.b. Olga may not refuse to accept the payment because what Cecilia was offering as payment is money
circulated in the Philippines.
c. Cecilia may consign the payment in court if Olga refuses to accept it.
d. The tender made by Cecilia was valid because the P1.00 coins came from her sales and she had plenty
of them.
34. Which of the following does not apply to payment by cession. Which is it?
a. Ownership of the debtor’s properties is transferred to the creditor.
b. The debtor must be insolvent.
c. It affects all the properties of the debtor except those exempt from execution.
d. There are several creditors.
35. Anna Almeda, Belinda Bersola, and Claudia Cabrera executed the following promissory note:
“I promise to pay Dolores Dominguez or order the sum of P30,000.00 on June 30,2010.
(Sgd.) Anna Almeda
(Sgd.) Belinda Bersola
(Sgd.) Claudia Cabrera”
On June 30,2010, Dolores Dominguez can collect from Anna Almeda:
a. P10,000.00
b. P30,000.00
c. P20,000.00
d. Nothing, because the note is void since it says “I promise” but was signed by three persons.
36. An obligation where various prestations are due but the performance of all of them is required in
order to extinguish the obligation is known as:
a. alternative obligation.
b. facultative obligation.
c. conjunctive obligation.
d. simple obligation.
37. D is indebted to C for P20,000.00 which is due on June 10. C owes D P15,000.00 which is due on June
5. On June 8, C assigned his credit rights to T. D gave his consent to the assignment but did not reserve
his right to the compensation. On June 10, how much may T collect from D?
a. P20,000.00
b. P15,000.00
c. P5,000.00 [Show Less]