1.
All All are are sour sources ces of obl obliga igatition onss ece!t ece!t"" a. Obliga Obligation tion of !arents !arents to su!!ort su!!ort t#eir t#eir c#il c#il$ren $ren b. Ob Obliliga gatition on to !a% ta taes es for for all all citi citi&ens & ens c. A $ebt $ebtor or !a%in !a%ingg #is obliga obligation tionss t#at t#at #as !rescr !rescribe$ ibe$.. $. A $ri'er( $ri'er(ss negligen negligence ce resulti resulting ng to !#%sic !#%sical al in)ur% in)ur% to a !e$estr !e$estrian ian..
*.
All of t#e follo+ing follo+ing are are obligation obligationss of t#e $ebtor if t#e ob)ect is a $eter,ina $eter,inate te t#ing ece!t" a. o $eli $eli'e 'err t#e s!e s!eci cifificc t#ing t#ing !ro, !ro,is ise$ e$ b. o $eli'er $eli'er t#e accession accession or its accessories accessories e'en t#oug# t#oug# not agree$ agree$ u!on. c. o $el $eli'e i'err t#e fru fruits its fro, fro, t#e t#e !erfec !erfectio tionn of contr contract act $. o tae tae care of t#e t#e t#ing t#ing !ro,ise !ro,ise$$ !en$ing !en$ing $eli'er% $eli'er% +it# +it# $ue $ilig $iligence ence..
/.
W#ic# W#ic# is not a sourc sourcee of liabili liabilit% t% to !a% $a,ages $a,ages00 a. ul! ul!aa con contrac tractu tual al b. 2olo inci$ent ente c. 3ailure to $eli'er on t#e $ate agree$ b% t#e !arties $. Obligo Obligorr 'iolati 'iolating ng t#e tenor tenor of of t#eir t#eir agree,e agree,ent nt +it# +it# t#e oblig obligee. ee.
4.
All are re,e$ies of t#e obligee obligee in case of breac# breac# of obligati obligation on to $eli'er $eli'er a generic t#ing ece!t" ece!t" a. Ri Rig# g#tt to co, co,!e !ell s!eci s!ecifificc !erfo !erfor,a r,anc ncee b. Rig#t Rig#t to to as as a t#ir$ t#ir$ !erso !ersonn to $o itit at $r(s e!ense e!ense c. Rig#t Rig#t to to con'e con'ert rt t#e t#e obli obligat gation ion to to its its ,onet ,onetar% ar% 'alu 'aluee $. Rig# Rig#tt to to as as for for ano anot#e t#err $a,a $a,age ges. s.
5.
W#en t#e $ebtor(s !ro!ert% !ro!ert% are not not enoug# enoug# to !a% !a% all #is #is $ebt in in full. full. #is con$ition con$ition is calle$" calle$" a. Antic#resis b. Pact Pactuu co,, co,,iissor ssorio io c. Insol'enc% $. Sus!ension
6.
State,en State,entt No. 1" 2 obliges obliges #i,sel #i,selff to gi'e a s!ecifi s!ecific ring7 u!on u!on failure7 failure7 to gi'e P57888. P57888. #is #is is a case case of facultati facultati'e 'e obligation. State,ent No. *" 2 obliges #i,self to gi'e a s!ecific ring. 9o+e'er7 if #e so $esires7 2 ,a% instea$ gi'e P57888. #is is an ea,!le of an obligation +it# a !enal clause. :i'en t#ese ea,!les7 +#ic# state,ent is correct0 a. Bot# obligations igations are 'ali$ 'ali$ but bot# are are ,islabele$ ,islabele$ as to t#eir t#eir classificati classification on as obligati obligations. ons. b. Bot# Bot# obligati i gation onss are are not not 'al 'ali$ i$.. c. Bot# obligation obligationss are 'ali$ 'ali$ an$ are !ro!erl% !ro!erl% labele$ labele$ as as to t#eir t#eir classifica classification tion as obligations. obligations. $. Bot# state,ents state,ents are in'ali$ in'ali$ an$ i,!ro!erl% i,!ro!erl% labele$ labele$ as to t#eir t#eir classificati classification on as obligati obligations. ons.
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State,ent State,ent 1"
*816?. >*816?. If b% t#e en$ en$ of *8167 bot# bot# !arties !arties are ali'e an$ an$ no ,arriage #as taen !lace7 ,% obligation is etinguis#e$. State,ent *"
@.
A7 B an$ )ointl% )ointl% an$ se'eral se'erall% l% borro+e$ borro+e$ P15788 P1578888 fro, =. to secure secure its !a%,e !a%,ent7 nt7 A !le$ !le$ge ge #is ring7 ring7 B #is V set7 an$ an$ #is refrigerator. Base$ on t#e infor,ation !ro'i$e$7 +#ic# of t#e follo+ing state,ents is correct" a. #e $ebtors $ebtors are soli$aril soli$aril%% boun$ an$ t#e t#e !le$ge !le$ge on t#e t#ree t#ree t#ings t#ings are are soli$aril% soli$aril%.. b. #e $ebto $ebtors rs are )oint )ointl% l% boun$ boun$ but t#e !le$ge !le$ge on t#e t#e t#ree t#ree t#ings t#ings are soli$a soli$aril ril%% c. #e $ebtors are !ersons soli$aril% liable an$ t#e !le$ge on t#e t#ree t#ings is in$i'isible $. #e $ebtors $ebtors are liable in$i'i$uall% in$i'i$uall% an$ an$ t#e c#aracter c#aracter of t#e t#ree t#ings t#ings !le$ge$ !le$ge$ is is $i'isible $i'isible
.
In no'a no'ation tion +#ic# +#ic# of t#e follo+ follo+ing ing is inco incorrec rrect0 t0 a. If t#e t#e ne+ oblig obligatio ationn is 'oi$7 'oi$7 origin original al obliga obligation tion s#al s#alll subsist subsist b. In e!ro,ission e!ro,ission77 t#e insol'enc% insol'enc% of t#e ne+ $ebtor $ebtor s#all s#all ne'er re'i'e7 re'i'e7 t#e t#e action action of t#e cre$itor-a cre$itor-against gainst t#e t#e original original $ebtor $ebtor c. If t#e original original obligati obligation on is sub)ect sub)ect to a sus!ensi'e sus!ensi'e con$ition7 con$ition7 t#e ne+ obligation obligation is sub)ect to t#e sa,e sa,e con$ition con$ition unless unless state$ $. In 2elegacio 2elegacion7 n7 insol'enc% insol'enc% of t#e ne+ $ebtor $ebtor +ill +ill ne'er ne'er re'i'e re'i'e t#e t#e ol$ obligat obligation. ion.
18. A is oblige$ oblige$ to gi'e B #is onl% onl% car on Se!te,be Se!te,berr 17 *815. *815. On t#e sai$ $ate7 A $i$ $i$ not $eli'er. $eli'er. On Se!te, Se!te,ber ber *7 *8157 an eart#uae co,!letel% $estro%e$ t#e car. Is A still liable0 a. No. onsi$ onsi$erin eringg t#at no $e,an$ $e,an$ to $eli'er $eli'er +as ,a$e ,a$e b% B an$ t#e s!ecifi s!ecific t#ing +as lost7 lost7 $ue to fortuit fortuitous ous e'ent7 e'ent7 t#e obligation is etinguis#e$. b. No. #e obligati obligation on is etinguis#e$ etinguis#e$77 e'en if t#e $ebtor is alrea$% in in $efault because because t#e t#e $ebtor can can !lea$ i,!ossibi i,!ossibilit% lit% of !erfor,ance. c. Ces. Ces. A is is alrea$% in legal legal $ela%7 $ela%7 t#us t#e obligati obligation on to $eli'er t#e t#e lost s!ecific s!ecific t#ing is con'erte con'erte$$ into ,onetar% ,onetar% clai, for $a,ages. $. Ces. Ces. #e cre$ito cre$itorr can instea$ instea$ $e,an$ $e,an$ for for a substitute substitute of eui'alent eui'alent 'alue 'alue fro, fro, t#e $ebtor. $ebtor.
1
11. A7 B an$ are soli$aril% $ebtors of = for P7888. Later7 !ai$ = t#e +#ole obligation. W#ic# of t#e follo+ing is consi$ere$ a false state,ent as to t#e effects of !a%ing = t#e +#ole obligation a. beco,es a cre$itor for rei,burse,ent b. After !ai$ = t#e +#ole obligation7 t#e sa,e is con'erte$ into a )oint obligation of rei,burse,ent c. If t#e $ebtot A beco,es insol'ent can collect fro, B P67888 $. None of t#e abo'e 1*. W7 =7 C7 D soli$aril% liable to A7 B7 7 )ointl% cre$itors for P/87888. 9o+ ,uc# can A an$ B collect fro, =0 a. P187888 b. P*7588 onl% c. P*87888 $. P/87888 1/.
On October 47 *8157 A is in$ebte$ to B for P587888 for a *8-$a% !erio$. A !ro!ose$ to B t#at = +ill !a% A(s $ebt an$ t#at A +ill be free fro, all liabilities. B an$ = agree to t#e !ro!osal. On October *57 *8157 = beca,e insol'ent. At t#e ti,e of $elegation7 = +as alrea$% insol'ent but t#is +as not no+n to A. #e insol'enc% is not !ublic no+le$ge. So B sues A on t#e groun$ t#at it +as A +#o ,a$e t#en !ro !osal t#at A guarantee$ =(s sol'enc%. 2eci$e. a. A is liable because #e is !resu,e$ to #a'e guarantee$ =(s sol'enc%. b. A is not liable because #e $oes not no+ t#e insol'enc% of = at t#e ti,e of $elegation an$ neit#er +as t#e insol'enc% of !ublic no+le$ge. c. A is liable because #e $i$ not eercise $ue $iligence in $eter,ining t#e insol'enc% of =. $. A is liable because = agree to t#e !ro!osal to ,ae #i,self soli$arit% liable for t#e obligation.
14.
#e ,ini,u, stan$ar$ of care t#at !erson oblige$ to gi'e so,et#ing ,ust obser'e in t#e !reser'ation of t#e s!ecific t#ing sub)ect ,atter of an obligation. a. #at $iligence of a goo$ fat#er of a fa,il% b. #at $iligence +#ic# t#e !arties #a'e sti!ulate$ on c. #at $iligence +#ic# t#e la+ !ro'i$es $. All of t#e abo'e
15. One is incorrect about etinguis#,ent of obligation a. No'ation is not absolute but onl% a relati'e ,o$e of etinguis#,ent of an obligation b. 2acion en !ago an$ !a%,ent b% cession are go'erne$ b% t#e la+ on sale c. A stoc#ol$er ,a% not co,!ensate +#at #e o+es t#e cor!oration +it# #is !resent stoc#ol$ings. $. Loss of a $eter,inate t#ing $ue to fortuitous e'ent +ill ee,!t t#e $ebtor e'en if #e stole it but #e later offere$ to return an$ t#e o+ner refuse$ to acce!t +it#out 'ali$ cause. 16. W#ic# is incorrect about $a,ages0 a. In contracts an$ uasi contracts7 obligor +#o acte$ in goo$ fait# is liable for t#e natural an$ !robable conseuences of t#e breac# of obligation +#et#er foreseen or not b. In letter A7 but in case of frau$ or ba$ fait#7 obligor is res!onsible for all $a,ages reasonabl% attributable to t#e non !erfor,ance of t#e obligation c. In cri,es an$ uasi $elicts7 obligor is liable for all $a,ages +#ic# are natural an$ !robable conseuences of t#e act or o,ission +#et#er or not foreseen $. In$e,nification for actual $a,ages co,!re#en$s not onl% t#e 'alue of t#e loss but also t#e !rofits t#e oblige faile$ to obtain 1;.
1@.
anuel boug#t t#e Noia ;658 of Fess for P157 888 b% gi'ing 58G earnest ,one% alt#oug# $eli'er% of t#e cell !#one +oul$ be after / $a%s later. Before $eli'er% #o+e'er t#e cell !#one +as lost $ue to floo$ broug#t b% stor,. a. anuel can reco'er t#e P;7 588 #e !ai$ to Fess b. anuel ,a% as for anot#er cell !#one at no a$$itional cost because Fess is liable. c. Obligation of Fess to $eli'er is etinguis#e$ b% t#e force ,a)eure e'ent an$ anuel cannot reco'er t#e a,ount !ai$. $. #e contract of sale s#oul$ be rescin$e$.
One is incorrect about ele,ents of contracts" a. Absence of an essential ele,ent 'oi$s t#e contracts b. Absence of natural or acci$ental ele,ents ,a% result to rescission an$ $a,ages c. In !olicitation7 t#ere is ,eeting of ,eetings but contract is inco,!lete #ence nee$s refro,ation $. In sti!ulation7 !our autrui consent or acce!tance of t#e t#ir$ !erson in'ol'es is ,an$ator%
1. All are essential c#aracteristics of contracts ece!t a. Relati'it% of contract b. Obligatoriness of contract c. Autono,% of contract $. Unifor,it% of contract or eualit% of contracting !arties *8. State,ent 1" #e $eat#7 ci'il inter$iction7 insanit% or insol'enc% of eit#er offeror or offeree before acce!tance is con'e%e$ ,aes t#e offer ineffecti'e State,ent *" #e cause of a contract is t#e !s%c#ological or !ersonal reason +#ereas ,oti'e is t#e ob)ecti'e or )uri$ical a. rueH true b. 3alseH false c. rueH false $. 3alseH true *1. #e follo+ing contracts ,ust a!!ear in a !ublic instru,ent ece!t" 2
a. b. c. $. **.
2onation of i,,o'able !ro!ert% Agenc% to sell lan$ Partners#i! +#ere i,,o'able !ro!ert% or real rig#ts are contribute$ W#en li,ite$ !artners#i! is for,e$
1st state,ent " Rescission of contracts an$ rescission or resolution of reci!rocal obligation are t#e sa,e *n$ state,ent" In 'oi$able contracts t#e $efect is eternal +#ereas in rescissible contracts t#e $efect is intrinsic a. rue7 rue c. 3alse7 rue b. 3alse7 3alse $. rue7 3alse
*/. In 'oi$ contract neit#er !art% ,a% see to enforce it7 neit#er can t#e% see t#e ai$ of la+. But reco'er% can be ,a$e b% t#e ot#er !art% ece!t. a. #e innocent !art% b. #e $ebtor +#o !a%s usurious interest c. #e !art% re)ecting t#e 'oi$ contract before illegal !ur!ose is acco,!lis#e$ $. In !ari $elicto !arties *4. W#ic# is ,ost $efecti'e0 a. Bot# !artie s are inca!acitate$ b. One of t#e !arties is a ,inor suffering lesion b% ,ore t#an of t#e 'alue of #is !ro!ert% c. ontracts entere$ b% a $ebtor to $efrau$ #is cre$itor $. ontracts in'ol'ing 'er% $ifficult ser'ice *5. In t#ree of t#e follo+ing $efecti'e contracts7 ratification cleanses t#e $efects. W#ic# is t#e ece!tion0 a. ontracts entere$ into b% a !erson +#o #as been gi'en no aut#orit% b. Sale of a !iece of lan$ t#ru an agent t#e aut#orit% is oral c. Sale of i,,o'able !ro!ert% or interest orall% entere$ into $. Bot# !arties are inca!able of gi'ing consent *6.
W 16 %ears ol$ sol$ #is #ouse 'alue$ at P1 for P587888 or a lesion b% ,ore t#an one-fourt# of t#e 'alue of t#e sai$ #ouse. a. b. c. $.
:7 guar$ian of W7 sol$ W(s #ouse 'alue$ at P587888 for P/;7588 or a lesion of one-fourt# of t#e 'alue. Voi$ableH Rescissible RescissibleH 'oi$able No. 1 is rescissibleH +#ile No.* is unenforceable Voi$ableH 'ali$ !erfectl%
*;. #e follo+ing contracts s#oul$ obser'e Statute of 3rau$s7 ece!t" a. Lease of real !ro!ert% longer t#an one %ear b. Re!resentation as to t#e cre$it of a t#ir$ !erson c. Lease of !ersonal !ro!ert% longer t#an one %ear $. :uarant% *@.
W#ic# of t#e follo+ing contracts cannot be ratifie$0 a. #ose +#ose cause or ob)ect $i$ not eist at t#e ti,e of t#e transaction b. Unaut#ori&e$ contracts c. #ose +#ere bot# !arties are inca!able of gi'ing consent $. #ose t#at fail to co,!l% +it# t#e Statute of 3rau$
*.
All are incorrect about contracts ece!t one a. Voi$able contracts are also calle$ 'ali$able contracts b. Sti!ulation !our autrui is an ece!tion to ,utualit% of contracts c. 3rau$ in in$uce,ent is a groun$ to nullif% a contract $. Voi$ contracts are unenforceable but not 'ice 'ersa
/8.
W#ic# of t#e follo+ing state,ent is false" a. In contract to sell7 o+ners#i! is not transferre$ to t#e bu%er e'en if t#ere is $eli'er% b. Sto!!age in transit can be eercise$ b% un!ai$ seller if t#e bu%er is insol'ent an$ t#e 'en$or #as not %et !arte$ +it# t#e t#ing sol$ c. #e !rice is consi$ere$ certain ifI it is in reference to anot#er t#ing certain $. In a rig#t to-resell it is not necessar% t#at t#e original bu%er is insol'ent
/1.
B frau$ulentl% in$uces S to sell to #i, >B? a ,aster!iece !ainting for P187888. Subseuentl%7 B sol$ it to = for P1*78887 a goo$ fait# !urc#aser. S is entitle$ to a. Rescin$ t#e contract +it# B !lus $a,ages b. Reco'er t#e !ainting fro, = but no $a,ages c. Reco'er $a,ages fro, B $. Rescin$ t#e contract bet+een B an$ =
/*. W#ic# of t#e follo+ing state,ents is true a. In a contract of sale t#e full !a%,ent of t#e !rice is in nature of sus!ensi'e con$ition for t#e transfer of o+ners#i! of t#e t#ing sol$ b. #e selller nee$ not be t#e o+ner of t#e t#ing sol$ at t#e !erfection of t#e sale c. E,!tio s!ei s!eretae is an absolute sale. $. Pacto $e retro sale is a sale +it# sus!ensi'e con$ition. 3
//. S agree$ to sell to B #is lan$ an$ B agree$ to !a% P187888 if = +ill !ass t#e PA Ea,s of *88A. = !asse$7 eanti,e7 interest earne$ is P17*887 +#ile t#e fruits #ar'este$ is P*7888. a. S +ill $eli'er t#e lan$ to B b. B +ill !a% S t#e !rice of t#e sale c. o,bination of A an$ B $. o,bination of A an$ B7 toget#er +it# t#e fruits an$ interest /4. S o+ns a ring an$ sol$ it to B for P187888. B !ai$ S t#e !rice7 but t#e latter !ro,ise$ to $eli'er t#e ring to = in a !ublic instru,ent an$ $eli'ere$ t#e ring to =. In a contract of !le$ge" State,ent 1" Bet+een B an$ = t#e latter #as got a better rig#t7 because t#e contract of !le$ge a!!ears in a !ublic instru,ent an$ t#ere +as $eli'er%. State,ent *" So,e case abo'e7 but $one t#roug# a !ri'ate instru,ent. a. Bot# state,ents are true b. Bot# state,ents are false c. No. 1 is true7 No. * is false $. No. 1 is false7 No. * is true /5. P +rote A aut#ori&ing A to sell a !iece of lan$ on #is be#alf. #e lan$ +as !urc#ase$ b% = but A e!t t#e ,one%. W#at can P $o0 a. P ,a% refuse to surren$er #is lan$ to = b. P ,a% reuire = to !a% t#e agree$ !rice again c. P ,a% reco'er t#e !rocee$s of t#e sale fro, A $. P ,a% reco'er #is lan$ to = t#ru court action /6. 27 as o+ner of s!ecific car an$ a !arcel of lan$7 !ro!erl% ,ortgage t#e sa,e to to ans+er a !rinci!al obligation of P1 ,illion. Later7 2 sol$ t#e sa,e lan$ to W7 +#ile t#e car sol$ to C +it#out infor,ing t#e cre$itorJ,ortgagee. State,ent 1" #e sale ,a$e to W is unenforceable7 'ali$ onl% if ratifie$ State,ent *" #e car sol$ to C is 'ali$ an$ enforceable because t#is is a ,o'able !ro!ert%7 but 2 is liable a. Bot# state,ents are true b. Bot# state,ents are false c. No. 1 is true7 No. * is false $. No. 1 is false7 No. * is true /;. State,ent 1" In a sale of goo$s7 t#e fruits s#all !ertain to t#e 'en$ee fro, t#e $a% t#e goo$s are $eli'ere$ to t#e 'en$ee. State,ent *" In case of loss or $eterioration of i,!ro'e,ent of t#e t#ing before t#e arri'al of t#e !erio$ ter,7 t#e rules $uring t#e !en$enc% for t#e con$ition in con$itional obligation s#all be obser'e$7 t#e 'en$or being consi$ere$ as t#e $ebtor. a. Bot# state,ents are true b. Bot# state,ents are false c. No. 1 is true7 No. * is false $. No. 1 is false7 No. * is true /@. Ea,!le 1" S sol$ to B in a !ri'ate instru,ental #is lan$. Later B +ante$ to #a'e t#e sale registere$7 but registration reuires a !ublic instru,ent. In #ere B can co,!el S to eecute t#e nee$e$ !ublic instru,ent. Ea,!le *" Sa,e case abo'e but it +as orall% ,a$e +it# !artial !a%,ent later7 contract is still enforceable. a. Bot# ea,!les are false b. Onl% No. 1 is true c. Onl% No. * is true $. Bot# ea,!les are true /. #e Recto La+ is not a!!licable a. Sale of car on straig#t ter, b. Sale of #ouse on install,ent c. Sale of car on install,ent +#ere t#e bu%er constitute$ a ,ortgage on #is truc $. All of t#e abo'e 48. Not a c#aracteristic of ,utuu,J co,,o$atu," a. Bilateral contract b. Princi!al contract c. :ratuitous contract $. onsensual contract 41. Not a c#aracteristic of !le$geJ ,ortgages" a. No,inate contract b. Onerous contract c. Princi!al contract $. Bilateral contract 4*. Not a c#aracteristic of antic#resis" a. onsensual contract b. Onerous contract c. No,inate contract $. 3or,al contract 4/. Affi$a'it of goo$ fait# is reuire$ in t#is contract. a. Real estate ,ortgage 4
b. Antic#resis c. #attel ,ortgage $. Ple$ge 44. In t#e follo+ing contracts7 +#ic# is $irectl% affecte$ b% Recto La+" a. Real estate ,ortgage b. Antic#resis c. #attel ,ortgage $. Ple$ge 45. W#ic# of t#e follo+ing is not a source of #attel ortgage La+ a. Re'ise$ !enal o$e b. i'il co$e c. #attel ortgage La+ $. 1@6 onsttutio n 46. 217 2* an$ 2/ borro+e$ fro, P/887888 as a securit%7 #e ,ortgage$ t#eir un$i'i$e$ agricultural lan$ to 7 Subseuentl%7 21 !ai$ P1887888. Is t#e ,ortgage on 21(s s#are of t#e lan$ etinguis#e$0 a. No7 because ,ortgages are consi$ere$ in$i'isible7 !a%,ent in !art s#all not etinguis# t#e obligation secure$ b% t#e ,ortgage. b. No. because t#e obligation is soli$ar%7 !a%,ent in !art s#all not etinguis# t#e obligation secure$ b% t#e ,ortgage. c. Ces7 t#e obligation of t#e $ebtors is )oint7 21 is ans+erable onl% for P1887888. $. Ces7 because t#e obligation of 21 on t#e $ebt is onl% P1887888. 4;. Personal !ro!erties t#at can be ,ortgage$ un$er t#e #attel ortgage La+ a. s#ares of stoc b. ungat#ere$ fruits or !ro$ucts c. interest in business $. all of t#e abo'e 4@. State,ent 1" #ere can be a case of t#e ,ortgage a!!ro!riating for #i,self t#e ,ortgage$ ob)ect s#oul$ t#e $ebtorJ,ortgagor fail to !a% t#e !rinci!al obligation. State,ent *" A t#ing !ut u! b% +a% of !le$ge ,a% be sol$ to anot#er !erson e'en +it#out etinguis#ing t#e contract of !le$ge !re'iousl% entere$ into b% t#e seller +it# #is !le$ge cre$itor a. Bot# state,ents are true b. Bot# state,ents are false c. No. 1 is trueH No. * is false $. No. 1 is falseH No. * is true 4. W#ic# of t#e follo+ing state,ents is true a. If a !rinci!al a!!oints an agent in +riting +it# res!ect to t#e sale of a !iece of lan$ an$ t#e latter sol$ it to a bu%er orall%7 t#e contract bet+een t#e agent an$ t#e bu%er is 'oi$. b. A contract of agenc% is generall% gratuitous. c. o lease !ersonal !ro!ert% to anot#er !erson for ,ore t#an one %ear $oes not reuire a s!ecial !o+er of attorne%. $. #e insol'enc% of t#e !rinci!al but not agent s#all etinguis# t#e agenc%. 58. 2 borro+e$ fro, P187888 an$ as securit% #e !le$ge$ #is ring to . b% co,,on agree,ent 2 re,ains in !ossession of t#e ring !le$ge$7 an$ a !ri'ate instru,ent +as eecute$ to t#at effect7 on t#e $ate of ,aturit%7 2 faile$ to !a%7 +#ic# of t#e follo+ing state,ent is correct" a. 2 ,a% go to a Notar% Public an$ cause$ t#e sale of t#e ring because of failure to !a% t#e obligation b. #ere is no contract of !le$ge because t#e ring re,ains in t#e !ossession of 2 c. #e contract of !le$ge bet+een 2 an$ is not 'ali$ because it $i$ not a!!ear in a !ublic instru,ent $. #e contract is unenforceable unless it +ill be ratifie$ b% t#e !arties 51. A seller sol$ to a bu%er a tele'ision set at a !rice of P*87888. At t#at ti,e t#e bu%er #as onl% P57888 cas# an$ #e offere$ a $ia,on$ ring +ort# P157888 +#ic# t#e seller acce!te$ as !a%,ent of t#e !rice. #e nature of t#e contract is a. Sale b. Barter c. Partl% sales an$ !artl% barter $. o,,o$atu, 5*. State,ent 1" In sale or return7 t#e ris of loss is on t#e 'en$orH In sale or trial7 t#e ris of loss is on t#e 'en$ee. State,ent *" In sale or return7 o+ners#i! !asses to t#e 'en$ee u!on t#e $eli'er% of t#e goo$sH in sale on trial7 o+ners#i! $oes not !ass to t#e 'en$ee until #e acce!t t#e goo$s a. Bot# state,ents are true b. Bot# state,ents are false c. No. 1 is trueH No. * is false $. No. 1 is falseH No. * is true 5/. #ree of t#e follo+ing are consi$ere$ ele,ents of contract of !le$ge an$ ,ortgage7 +#ic# is t#e ece!tion0 a. Accessor% contract b. Ple$gor or ,ortgagor ,ust be absolute o+ner c. #ing !le$ge$ ,a% be a!!ro!riate$ if $ebtor cannot !a% $. Ple$gor or ,ortgagor ,ust #a'e a free $is!osal of t#e t#ing !le$ge$ 54. 2 !le$ge #is ring to for P187888. 2 faile$ to !a% #is obligation on ti,e. sol$ it at !ublic auction for P@7888. 5
a. b. c. $. 55.
can reco'er $ie $eficienc% e'en +it#out sti!ulation cannot reco'er t#e $eficienc% e'en t#ere is a sti!ulation cannot reco'er t#e $eficienc% can reco'er t#e $eficienc%
State,ent 1" If t#e t#ing !le$ge$ is returne$ to t#e !le$gor7 t#e !rinci!al obligation is etinguis#e$. State,ent *" A contract of !le$ge is consensual +#ic# is !erfecte$ fro, t#e ti,e t#e t#ing !le$ge$ is !lace$ in t#e !ossession of t#e cre$itor7 or of a t#ir$ !erson b% co,,on agree,ent. a. Bot# state,ents are true b. Bot# state,ents are false c. No. 1 is trueH No. * is false $. No. 1 is falseH No. * is true
56. W#ic# of t#e follo+ing state,ents is incorrect0 a. Warrant% against #i$$en $efect is a natural ele,ent b. #e seller nee$ not be o+ner of t#e t#ing sol$ at t#e !erfection of t#e sale c. #ere a ,a% be a transfer of o+ners#i! o'er t#e t#ing e'en if t#e seller #as not $eli'ere$ t#e t#ing sol$ to t#e bu%er $. Warrant% against e'iction is +ai'able i,!lie$l% 5;. S sol$ #is car to B !a%able in ten >18? eual ,ont#l% install,ents an$ +it# a ,ortgage constitute$ on t#e sa,e !ro!ert% >car?. 3or B(s failure to !a% a ,ont#(s install,ent7 +#ic# state,ent is correct0 a. S ,a% foreclose t#e ,ortgage on B(s car but #e no longer #as t#e rig#t to reco'er t#e balance s#oul$ it >t#e car? be sol$ for an a,ount lo+er t#an +#at #e clai,s fro, B. b. S ,a% see t#e cancellation of t#e sale ,a$e to B. c. S ,a% see t#e cancellation of t#e sa,e an$ later on foreclose t#e ,ortgage s#oul$ #e fin$ it i,!ossible to collect fro, B. $. S ,a% see fulfil,ent of t#e obligation of B to !a% t#e a,ount $ue. 5@. Araneta +rote a letter to Bascon +#erein in #e offere$ to sell a !iece of lan$. In Araneta(s letter #e gi'es Bascon a !erio$ of t+o ,ont#s +it#in +#ic# to !a% t#e !rice of P5887888. After 58 $a%s Araneta tol$ Bascon t#at #e is increasing t#e !rice of t#e lan$ to P;887888. an Bascon co,!el Araneta to acce!t P5887888 first offere$ b% Araneta an$ eecute t#e $ee$ of sale0 a. No7 for Bascon $i$ not signif% #is acce!tance of t#e offer b. Ces7 because t#e !erio$ of * ,ont#s #as not %et e!ire$ c. Ces7 because Araneta is alrea$% esto!!e$ b% #is signe$ letter $. Ces7 because t#ere +as actual ,eeting of ,in$s of t#e !arties 5. A sol$ to B a !arcel of lan$ for P/87888. #e sale is e'i$ence$ b% a ,e,oran$u, of agree,ent of sale +ritten in ebuano $ialect. One +ee later7 A sol$ t#e sa,e !arcel of lan$ to for P487888 +#ic# +as e'i$ence$ b% a for,al $ee$ of sale. U!on bu%ing t#e !ro!ert%7 7 +#o +as a+are of t#e first sale7 i,,e$iatel% too !ossession of t#e lan$ an$ registere$ t#e $ee$ of sale in #er fa'or +it# t#e Register of 2ee$s. W#en infor,e$ of t#e secon$ sale7 B subseuentl% registere$ an a$'erse clai, to t#e !ro!ert%. #e !arcel of lan$ s#all belong to a. B7 because s#e got ol$er title b. 7 because t#e sale +as ,a$e on for,al $ee$ of sale c. 7 because s#e is t#e first to register t#e $ee$ of sale $. 7 because s#e is t#e first to tae !ossession of t#e lan$ 68. One of t#e follo+ing is not an alternati'e re,e$% a'ailable to a seller of !ersonal !ro!ert% on install,ent if bu%er $efaults a. o go to court an$ as t#e court to or$er $eli'er of t#e !ro!ert% b. o foreclose t#e c#attel ,ortgage c. o sue for s!ecif ic !erfor,ance $. o tae !ossession of t#e !ro!ert% an$ forfeit t#e a,ount !ai$ b% bu%er 61. r. :a,boa sol$ #is car for P*887888 to r. Ra,os. #ere +as no fie$ !erio$ for t#e !erfor,ance of t#e obligation of bot# !arties. #e obligation of r. :a,boa as 'en$or is" a. o +ait for r. Ra,os to !a% P*887888 an$ $eli'er t#e car b. o $eli'er t#e car i,,e$iatel% as t#is is a !erfect contract c. o $eli'er t#e car i,,e$iatel% because t#e seller(s obligation is !ure $. o rescin$ t#e contract because no ti,e or $ate is fie$ for t#e !erfor,ance of t#eir res!ecti'e obligations 6*. r. Al,an$o Ro,ero o+es t#e BIR P1887888 in $elinuent taes an$ !enalties. In or$er to e'a$e t#e !a%,ent of t#e sai$ liabilit%7 #e eecute$ a $ee$ of sale of #is !arcel of lan$ for P*887888 in fa'or of #is brot#er7 Pablo7 +#o !ai$ t#e !urc#ase !rice but t#e BIR #as e'i$ence t#at sai$ !rice #a$ ne'er been !ai$7 t#e !ur!ose of t#e sale being to !re'ent t#e BIR to le'% u!on t#e lan$ to satif% t#e ta liabilit% of r. Al,an$o Ro,ero. In t#is case" a. #e BIR ,a% not le'% u!on t#e lan$ because t#e sale is 'ali$ b. #e BIR7 +it#out annulling t#e sale7 ,a% le'% u!on t#e lan$ of Ro,ero !ursuant to t#e !ro'isions of t#e National Internal Re'enue o$e c. #e BIR s#oul$ first annual t#e sale before it ,a% le'% u!on t#e lan$ !ursuant to t#e !ro'isions of t#e National Internal Re'enue o$e $. Ans+er is not gi'en 6/. A legal +rit aut#ori&ing a s#eriff to tae into custo$% !ro!ert% in litigation belonging to a $efen$ant until #e co,!lies +it# or$ers of t#e court a. 3oreclosure b. 2acion en !ago c. Seuestration $. ounterclai, 6
e.
:arnis#,ent
64. #e un!ai$ seller of goo$s loses #is lien t#ereon ece!t" a. W#en t#e bu%er or #is agent la+full% obtains !ossession of t#e goo$s b. W#en a seller $eli'ers t#e goo$s to a carrier or ot#er bailee for t#e !ur!ose of trans,ission to t#e bu%er +it#out reser'ing t#e o+ners#i! of t#e goo$s. c. B% +ai'er t#ereof $. W#en t#e goo$s are in transit 65. A o+es B P1887888 guarantee$ b% = an$ secure$ b% a real estate ,ortgage o'er a !arcel of lan$. B assigns t#e cre$it to +#o notifie$ A. Later A $efaulte$ in t#e !a%,ent of t#e loans. W#ic# of t#e follo+ing is incorrect0 a. is subrogate$ to t#e rig#ts of B0 b. can foreclose t#e ,ortgage c. can also sue = after eercising t#e rig#t of ecussion $. can not sue = if #e #as $eci$e$ to foreclose t#e ,ortgage
66. A7 B7 an$ 7 ca!italist !artners7 contributing P/878887 P*87888 an$ P187888 res!ecti'el%7 an$ 27 t#e in$ustrial !artner7 contribute$ #is ser'ices. Su!!ose =7 a custo,er7 is t#e cre$itor of t#e fir, to t#e a,ount of P1@87888. 9o+ can = reco'er t#e P1@878880 a. = ,ust sue t#e fir, an$ get P687888. = can still reco'er t#e balance of P1*87888 fro, t#e four !artners )ointl%7 t#at is P/87888 eac# b. = can reco'er fro, t#e fir, P687888. = can still reco'er t#e balance of P1*87888 fro, t#e ca!italist !artners onl% c. = can reco'er fro, t#e fir, P687888. = can still reco'er t#e balance of P1*87888 fro, t#e ca!italist soli$aril% $. = can reco'er fro, t#e fir, P687888 an$ can no longer reco'er t#e balance of P1*87888. 6;. A7 B an$ for,e$ a general !artners#i! +it# a gross ca!ital of P87888. #e% agree$ t#at t#e !rofit an$ loss s#aring is" A K 58GH B K *5GH K *5G. U!on $issolution an$ after e#austing t#e !artners#i! ca!ital7 = #as still a collectible a,ount of P/87888 fro, t#e fir,. 9o+ ,uc# can = collect fro, alone0 a. P;7588 b. P157888 c. P/87888 $. P187888 6@. W#ic# of t#e follo+ing !ro'ision in Partners#i! La+ isJare consi$ere$ ,an$ator% an$ not $irector%. a. If t#e ca!ital is P/7888 or ,ore it ,ust a!!ear in a !ublic instru,ent. b. #e !artners#i! contract ,ust be recor$e$ +it# t#e SE if li,ite$ !artners#i! c. If i,,o'able !ro!erties is contribute$ it ,ust a!!ear in a !ublic instru,ent. $. B an$ . e. A an$ B 6. Unless ot#er+ise !ro'i$e$ in a general !artners#i!7 +#ic# of t#e follo+ing is correct +#en a !artner $ies0 2ecease$ !artner(s a$,inistrator +oul$ 9is estate +oul$ be free #e !artners#i! is auto,aticall% beco,e fro, an% liabilities auto,aticall% $issol'e$ !artner a. Ces Ces Ces b. Ces No No c. No Ces No $. No No Ces ;8. A7 B an$ !artners. #eir contributions are as follo+s" AP68t7 BP48t7 ser'ices. A P18t loss s#all be $istribute$ as follo+s" a. A7 P67888H B7 P47888H 7 not#ing b. A7 P/7888H B7 P*7888H 7 P57888 c. A7 P/7588H B7 P*7588H 7 P/7888 $. A7 P/7888H B7 P*7888H 7 P47888 ;1. One is ,o$e of $issol'ing !artners#i! t#at reuires $ecree of court a. 2eat# of !artner b. W#en a s!ecific t#ing !ro,ise$ b% a !artner is lost before $eli'er% c. Business can onl% be carrie$ on at a loss $. Acco,!lis#,ent of t#e !ur!ose ;*.
=7 C an$ D for,e$ a general !artners#i! $eci$e$ to contribute P*887 888 eac#. #e !artners#i! #as starte$ its o!erations alt#oug# = +as able to contribute onl% P1487 888. #e% also agree$ t#at = an$ C be ee,!te$ fro, losses. U!on $issolution t#ere +as an outstan$ing obligation to r. A in t#e a,ount of P;*87 888.A e#auste$ t#e ca!ital of P5487 8887 lea'ing a P1@87 888 balance. W#ic# state,ent base$ on t#e foregoing is true0 a. #e s#are of = is not#ing base$ on t#e agree,ent b. #e s#are of = is 1J/ of P1@87 888 or P687 888 being a general !artner. c. D +ill #a'e to absorb t#e +#ole P1@87 888 !er agree,ent ,inus =(s s#are of P687 888 $. = is liable for P687 888 to t#e !artners#i! an$ P487 888 to r. A
;/.
W#ic# of t#e follo+ing is not correct0 In a li,ite$ !artners#i! co,!ose$ of A7 B an$ 7 t#e contribution ,a% be as follo+s" 7
a. b. c. $. ;4.
A !ro!ert% >li,ite$ !artner?H B K ser'ices >general !artner?H K cas# >general !artner? A cas# >li,ite$ !artner?H B K !ro!ert% >general !artner?H K ser'ices >general !artner? A ser'ices >li,ite$ !artner?H B K cas# >general !art ner?H K ser'ices >genral !artner? A cas# >li,ite$ !artner?H B K cas# >general !artner?H K ser'ices >genral !artner?
W#ic# of t#e follo+ing state,ents is correct0 a. A !artners#i! contract is not co'ere$ b% Statute of frau$s b. A li,ite$ !artners#i! is one #a'ing at least one general !artner or one li,ite$ !artner an$ t#e li,ite$ !artner s#all not be liable for t#e obligation of t#e !artners#i! c. A li,ite$ !artner +#o contribute$ in$ustr% to t# e fir, beco,es liable as a gener al !artner $. #e contract of !artnes#i! is 'oi$ if it contains a sti!ulation +#ic# eclu$es a !artner fro, s#aring in t#e !rofits of t#e fir,
;5. W#ic# of t#e follo+ing state,ents is >are? usuall% correct regar$ing general !artner(s liabilit% I. All general !artners are )ointl% an$ se'erall% liable for t#e !artners#i! torts II. All general !artners are liable onl% for t#ose !artners#i! obligations t#e% actuall% aut#ori&e$ a. I onl% b. II onl% c. Bot# I an$ II $. Neit#er I nor II ;6.
1st state,ent" #e arri'al of t#e ter, of a !artners#i! +it# a fie$ ter, or !erio$ s#all not $issol'e t#e !artners#i! but suc# !artners#i! ,a% be ter,inate$ an%ti,e $e!en$ent on t#e +ill of t#e continuing !artners. *n$ state,ent" #e general rule is t#at t#e loss of t#e s!ecific t#ing contribute$ to t#e !artners#i! $issol'es t#e !artners#i! +#en onl% t#e use of t#e t#ing is contribute$ b% t#e !artner. a. Bot# state,ents are false b. Bot# state,ents are true c. 1st state,ent is true but *n$ state,ent is false $. 1st state,ent is false but *n$ state,ent is true
;;. A !artner +#o $oes not !artici!ate in t#e ,anage,ent of t#e affairs of t#e !artners#i! an$ +#ose connection +it# it is not ,a$e no+n to t#e !ublic is calle$" a. Silent-secret !artner b. No,inal !artner c. 2or,ant !artner $. Silent-ostensible !artner ;@. A7 B an$ are !artners in = Partners#i!. #e !artners#i! is $issol'e$ b% A(s $eat#. B t#erafter transact business +it# 27 a t#ir$ !erson State,ent 1" If t#e transaction is $esigne$ to co,!lete trasactions began but unfinis#e$ at t#e ti,e of $issolution7 t#e !artners#i! is boun$. State,ent *" On $issolution7 t#e !artners#i! is not ter,inate$ but continues until +in$ing u! of !artners#i! affairs is co,!lete$. a. Bot# are true b. Bot# are false c. No. 1 is trueH No. * is false $. No. 1 is falseH No. * is true ;. State,ent 1" A !erson a$,itte$ as a !artner into a eisting !artners#i! is not liable for obligations of t#e !artners#i! contracte$ before #is a$,ission State,ent *" #e !artner +#o cause$ t#e $issolution is still allo+e$ to be liui$ating !artner. a. Bot# are true b. Bot# are false c. No. 1 is trueH No. * is false $. No. 1 is falseH No. * is true @8. A7 B an$ for,e$ a li,ite$ Partners#i!7 eac# contributing7 P187888. 9o+e'er7 t#e articles of !artners#i! +as not recor$e$ or registere$ +it# t#e SE. W#ic# of t#e follo+ing is an incorrect state,ent0 a. Not 'ali$ as a li,ite$ !artners#i! b. It is consi$ere$ as a general !artners#i! c. #e !artners#i! still !ossesses )uri$ical !ersonalit% $istinct an$ se!arate fro, t#e !artners. $. #e !artners#i! is 'oi$.
@1. a)orit% Vote < B% t#e Boar$ of 2irectorsM an$ a!!ro'e$ b% not less t#an *J/ of all stocs7 outstan$ing an$ entitle$ to 'ote are t#e !rescribe$ 'ote in t#ree of t#e follo+ing7 +#ic# is t#e ece!tion0 a. A$o!tion of ne+ b%-la+s b. 2eclaration of stoc $i'i$en$s c. o incur7 create or increase bon$e$ in$ebte$ness $. o a,en$ t#e articles of incor!oration @*. 1st state,ent" No cas# $i'i$en$s can be $eclare$ out of !rinci!al sur!lus as t#is coul$ a,ount to $eclaration of $i'i$en$ of ca!ital *n$ state,ent" If t#e sur!lus !rofits of t#e stoc cor!oration ecee$e$ t#e le'el eual to its !ai$ u! ca!ital7 SE ,a% co,!el t#e cor!oration to $eclare $i'i$en$s ot#er+ise it +ill be liable for a surta on i,!ro!erl% accu,ulate$ !rofits. W#ic# of t#e follo+ing is correct0 a. 1st state,ent is false but *n$ state,ent is true 8
b. c. $.
Bot# state,ents are true Bot# are false 1st state,ent is true but *n$ state,ent is false
@/. A cor!oration cannot be an incor!orator7 because onl% natural !ersons ,a% beco,e incor!orators7 ece!t a. oo!erati'e as incor!orator of Rural Ban b. Elee,os%nar% cor!orations c. #aritable organi&ation incor!orate$ un$er t#e P#ili!!ine La+s $. or!orations Sole @4. State,ent No. 1" W#en liui$ation is $one b% recei'ers#i! or trustees#i!7 t#e settling of cor!orate affairs ,a% go be%on$ / %ears. State,ent No.*" rustee of non-stoc but e$ucational institutions cannot ecee$ 15 !ersons an$ s#all be in ,ulti!le of 5 a. rueH true b. 3alseH false c. rueH false $. 3alseH true @5. 2irectors or officers of t#e cor!oration are soli$aril% liable for $a,ages suffere$ b% t#e cor!oration an$ its stoc#ol$ers an$ cre$itors in an% of t#e follo+ing ece!t one" a. W#en t#e% +illfull% an$ no+ingl% 'ote$ or a!!ro'e$ a !atent unla+ful act in'ol'ing t#e cor!oration b. W#en t#e% are guilt% of ba$ fait# in $irecting t#e affairs of t#e cor!oration c. W#en t#e% are guilt% of negligence in $irecting t#e affairs of t#e cor!oration $. W#en t#e% are acuire !ersonal or !ecuniar% interest in conflict +it# t#eir $uties @6. All are reuire,ents of $eri'ati'e suit ece!t" a. A +rongful act $one in'ol'ing or against t#e cor!oration b. o,!laining stoc#ol$er a!!lie$ for re$ress to t#e boar$ an$ ,a)orit% stoc#ol$ers c. o,!laining stoc#ol$er ,ust be stoc#ol$er of recor$ +#en +rongful act occurre$ $. #e action is broug#t on be#alf of t#e cor!oration an$ co,!laining stoc#ol$er @;. 3or 'ali$ ratification of an ultra 'ires act. #e follo+ing reuisite ,ust concur ece!t" a. #e act ,ust be consu,,ate$ not eecutor% b. #e state is not !re)u$ice$ c. No cre$itor is !re)u$ice$ $. a)orit% of stoc#ol$ers ,ust gi'e t#eir consent @@. State,ent 1" #e trustee of a 'oting trust can be electe$ to t#e boar$ of $irectors State,ent *" #e grantorJtrustor of a 'oting trust +#o is $irector can retain #is !osition e'en if #e entruste$ all #is s#ares t#ru a VA a. rueH true b. 3alseH false c. rueH false $. 3alseH true @. State,ent 1" #e trustee of 'oting trust is entitle$ to recei'e $i'i$en$ also. State,ent *" A cor!oration can still legall% eist before SE +it#out a cor!orate na,e a. rueH true b. 3alseH false c. rueH false $. 3alseH true 8. #e follo+ing are reuire,ents for a 'ali$ transfer of stoc7 ece!t" a. #ere ,ust be a $eli'er% of stoc certificates b. It ,ust be en$orse$ b% t#e o+ner or #is legal re!resentati'e c. It ,ust be transferre$ for a 'aluable consi$eration $. o be 'ali$ against t#ir$ !ersons7 ,ust be recor$e$ in t#e cor!orate boos 1. State,ent 1" W#en b% la+s !ro'i$es7 !re-e,!ti'e rig#ts in fa'or of t#e cor!oration onl%7 it is null an$ 'oi$ State,ent *" +ai'er of a !re-e,!ti'e rig#t in t#e subscri!tion agree,ent is not allo+e$ a. rueH true b. 3alseH false c. rueH false $. 3alseH true *. o $elegate to t#e boar$ of $irectors or trustees t#e !o+er to a,en$ or re!eal t#e b%-la+s or a$o!t ne+ b%-la+s a. a)orit% of t#e outstan$ing ca!ital stoc or of t#e ,e,bers b. a)orit% 'ote of t#e boar$ an$ of t#e outstan$ing ca!ital stoc or of t#e ,e,bers c. *J/ of t#e outstan$ing ca!ital stoc or of t#e ,e,bers $. a)orit% of t#e uoru, of t#e boar$ an$ *J/ of t#e outstan$ing ca!ital stoc or of t#e ,e,bers /. State,ent 1" anage,ent of a cor!oration ,a% be $elegate$ to an eecuti'e co,,ittee7 co,!ose$ of not less t#an / ,e,bers of t#e boar$ to be a!!ointe$ b% t#e boar$ !ro'i$e$ t#e creation of suc# eecuti'e co,,ittee is !ro'i$e$ in t#e b%la+s. State,ent *" Stoc#ol$ers or ,e,bers ,eeting s#all be #el$ in t#e cit% or ,unici!alit% +#ere t#e !rinci!al office of t#e cor!oration is locate$ an$ if !racticable7 in t#e !rinci!al office of t#e cor!oration 9
a. b. c. $.
Bot# are true Bot# are false No.1 is trueH No. * is false No. 1 is falseH No. * is true
4. S#ares $e!osite$ b% t#e seller or #is agent +it# a ban or t#ir$ !art% to $eli'er to t#e bu%er or subscriber onl% u!on t#e fulfill,ent of t#e sti!ulate$ sus!ensi'e con$ition a. Pro,otion s#ares b. 3oun$ers s#ares c. Re$ee,able s#ares $. Escro+ s#ares 5. 1st state,ent" e,bers#i! in a non-stoc cor!oration7 an$ all rig#ts arising t#ere fro, cannot be transferre$ e'en if !ro'i$e$ in t#e articles of incor!oration or b% la+s7 because ,e,bers#i! an$ t#e rig#t arising t#ere fro, are !ersonal an$ nontransferable *n$ state,ent" reasur% stoc sol$ for less t#an t#eir !ar or issue$ 'alue are consi$ere$ <+atere$ stocM an$ as suc# !ro#ibite$ b% la+. W#ic# is correct0 a. Bot# are true b. Bot# are false c. 1st state,ent is trueH *n$ state,ent is false $. 1st state,ent is falseH *n$ state,ent is true 6. #e assets of t#e cor!oration as re!resente$ b% its ca!ital stoc are to be ,aintaine$ uni,!aire$ t#at t#ere can be no $istribution of suc# assets a,ong t#e stoc#ol$ers +it#out !ro'ision being first ,a$e for t#e !a%,ent of cor!orate $ebts. a. 2octrine of cor!orate fiction b. 2octrine of cor!orate o!!ortunit % c. rust fun$ $octrine $. 2octrine of li,ite$ ca!acit% ;. A cor!oration +#ere 'acancies in t#e boar$ of 2irectors are fille$ onl% b% t#e re,aining ,e,bers of t#e boar$s is" a. O!en cor!oration b. or!oration sole c. Elee,os%nar% cor!oration $. lose cor!oration @. State,ent 1" All t#e issue$ stocs7 eclusi'e of treasur% stocs7 of a close cor!oration s#all be #el$ of recor$ b% not ,ore t#an *8 stoc#ol$ers State,ent *" 3oreign cor!orations transacting business in t#e P#ili!!ines +it#out license ,a% not sue but ,a% be sue$ in our courts a. Bot# are true b. Bot# are false c. 1st state,ent is trueH *n$ state,ent is false $. 1st state,ent is falseH *n$ state,ent is true . State,ent 1" Stoc issue$ b% a cor!oration in ecess of t#e a,ount !rescribe$ or li,ite$ b% its Articles of Incor!oration are 'oi$ ece!t in t#e #an$s of a bonafi$e !urc#aser for 'alue. State,ent *" reasur% s#ares are !art of t#e outstan$ing ca!ital stoc of a cor!oration. a. Bot# are true b. Bot# are false c. 1st state,ent is trueH *n$ state,ent is false $. 1st state,ent is falseH *n$ state,ent is true 188. State,ent 1" A contract entere$ b% t#e cor!oration +it# an% of its officers or $irectors is !ro#ibite$ State,ent *" If t#e interest of an interlocing $irector in one of t#e contracting cor!orations is substantial +#ile #is interest in t#e ot#er is ,erel% no,inal7 t#e contract bet+een t#e sai$ cor!orations +it# interlocing $irectors s#all be 'ali$ a. rueH true b. 3alseH false c. 3alseH true $. rueH false 181. A!!raisal rig#t ,a% be eercise$ in an% of t#e follo+ing ece!t" a. S#orten cor!orate ter, b. on'ersion of cor!oration fro, stoc to non-stoc c. In'est,ent of cor!orate fun$s to anot#er !ur!ose ot#er t#an !ri,ar% $. or!orate 'oluntar% $issolutio n 18*. In t#e follo+ing cases7 e'en non 'oting s#ares ,a% 'ote ece!t" a. A,en$,ent of b%-la+s an$ cor!orate c#arter b. In case of ,erger or consoli$ation c. In case of ,anage,ent contracts entere$ b% t#e cor!oration +it# anot#er cor!oration $. or!orate 'oluntar% $issolutio n 18/.
One is not a groun$ of SE un$er In'oluntar% $issolution" a. Refusal to a$o!t b% la+s b. oo nu,erous ultra 'ires acts c. Error in t#e !ai$ ca!ital $uring incor!oration 10
$.
3i'e %ear non-user rule
184.
An Eecuti'e o,,ittee #as no !o+er to $o t#e follo+ing ece!t" a. A,en$ b%-la+s b. A,en$ Boar$ Resolution c. A!!ro'e acts reuiring stoc#ol$ers( a!!ro'al $. 2eclare cas# $i'i$en$s
185.
A s#are#ol$er(s o!tion to subscribe to allot,ent of s#ares in !ro!ortion to #is #ol$ings of outstan$ing s#ares7 before ne+ s#ares are offere$ to ot#ers a. Voting rig#t b. Pre-e,!ti'e rig#t c. Ultra 'ires act $. A!!rais al rig#t
186.
ualification of trustee on non stoc cor!oration" a. rustee ,ust be ,e,ber of t#e cor!oration b. a)orit% of t#e trustees ,ust be resi$ent of t#e P#ili!!ines c. rustees of non stoc cor!oration ,a% be ,ore t#an 15 ,e,bers $. All of t#e abo'e
18;.
3eatures of transfer restriction of s#ares in t#e close cor!oration a. 3or t#e restriction on t#e rig#t to transfer7 t#e sa,e be state$ in t#e Articles of Incor!oration7 B%-la+s an$ ertificate of Stoc b. #e restriction s#all not be ,ore onerous t#an granting t#e eisting stoc#ol$ers +it# suc# reasonable ter,s7 con$itions or !erio$ state$ t#erein c. #e transfer t#erefore7 s#all onl% be ,a$e to t#e close cor!oration or to t#e stoc#ol$ers of t#e close cor!oration $. All of t#e abo'e
18@.
o re'oe t#e !o+er grante$ to t#e boar$ to ,ae b% la+s. a. a)orit% 'ote of t#e boar$ an$ of t#e outstan$ing ca!ital stoc of t#e ,e,bers b. *J/ of t#e outstan$ing ca!ital stoc of t#e ,e,bers c. a)orit% of t#e uoru, of t#e boar$ an$ *J/ of t#e outstan$ing ca!ital stoc or of t#e ,e,bers $. a)orit% of t#e outstan$ing ca!ital stoc or of t#e ,e,bers
18.
A cor!oration officer or $irector cannot tae a$'antage for t#eir !ersonal benefit7 a business o!!ortunit% +#ic# t#e cor!oration is financiall% able to un$ertae a. 2octrin e of cor!orate fiction b. rust fun$ $octrine c. 2octrin e of cor!orate o!!ortunit% $. 2octrin e of li,ite$ ca!acit%
118.
#is grou! of !ersons ,a% not for, a cor!oration an$ be incor!orators in a cor!oration in t#e P#ili!!ines a. 3ifteen S!anis# citi&ens +#o are resi$ents of anila b. en resi$ent aliens an$ four aliens in Singa!ore c. Ele'en 3ili!inos +#o are resi$ent of San 3rancisco7 alifornia $. Se'en A,ericans resi$ing in t#e P#ili!!ines an$ t+o 3ili!inos7 resi$ents of 9a+aii
111.
#e follo+ing are t#e reuisites7 ece!t one7 for 'ali$ $eclaration an$Jor issuance of stoc $i'i$en$ a. Eis tence or original an$ unissue$ s#ares b. 2i'i$en$ $eclaration is ,a$e b% t#e Boar$ of $irectors an$ a!!ro'e$ b% *J/ of t#e outstan$ing ca!ital stoc c. It is issue$ to increase t#e aut#ori&e$ ca!ital $. Eis tence of unrestricte$ earnings
11*.
o secure an obligation of P1878887 2 !le$ge$ 188 s#ares of stoc in S cor!oration in fa'or of . Because 2 $efaulte$7 sol$ at !ublic auction t#e sai$ s#ares of stoc !re'iousl% $eli'ere$ to #i, b% 2. In t#e auction sale7 t#e s#ares +ere sol$ to B for P157888. It turne$ out7 #o+e'er7 t#at after t#e !le$ge7 but before t#e auction sale7 2 #a$ eecute$ $ee$ of sale transferring t#e s#ares to =7 State,net 1" B acuires o+ners#i! of t#e stoc7 because #e +as t#e bu%er at t#e auction sale. State,ent *" #e ecess of P57888 s#all belong to t#e $ebtor >2? unless ot#er+ise sti!ulate$ a. Bot# are true b. Bot# are false c. No. 1 is trueH No. * is false $. No. 1 is falseH No. * is true
11/.
Place of ,eeting of stoc#ol$ers an$ ,e,bers. W#ic# one is correct0 a. Stoc#ol$ers" it% or ,unici!alit% +#ere t#e !rinci!al office of t#e cor!oration is locate$ b. e,bers" An% !lace e'en outsi$e t#e !rinci!al office of t#e cor!oration if state$ in t#e b%-la+s ,ust be +it#in t#e P#ili!!ines an$ state$ in t#e notice of ,eeting c. e,bers" An% !lace e'en outsi$e t#e !rinci!al office of business if state$ in t#e b%-la+s but ,ust be +it#in t#e !#ili!!ines e'en if not state$ in t#e notice of ,eeting $. Stoc#ol$ers" eeting #el$ outsi$e t#e !rinci!al !lace of business is 'ali$ ece!t if all stoc#ol$ers are !resent or re!resente$.
114.
An% !rofit +#ic# it ,a% earn s#all be use$ for t#e furt#erance of t#e !ur!ose for +#ic# t#e cor!oration +as organi&e$ as suc# !rofit is not $istributable to its ,e,bers 11
a. b. c. $.
lose cor!oration Stoc cor!oration Pri'ate e$ucational cor!oration Non-stoc cor!oration
115.
All cannot be a close cor!oration ece!t" a. Bans b. Insurance co,!anies c. ulti-national co,!anies $. E$ucational institutions
116.
W#ic# is not correct0 #e acce!tor b% acce!ting t#e instru,ent a. A$,its t#e eistence of t#e $ra+er7 t#e genuineness of signature an$ #is ca!acit% an$ aut#orit% to $ra+ t#e instru,ent b. A$,its t#e eistence of t#e !a%ee an$ #is ca!acit% to in$orse c. Engages t#at #e +ill !a% it accor$ing to t#e tenor of #is acce!tance $. A$,its t#e eistence of t#e en$orser7 t#e genuineness of #is signature an$ #is ca!acit% an$ aut#orit% to $ra+ t#e instru,ent
11;.
Sg$.? . #e +or$s
11@.
W#ic# of t#e follo+ing is not a c#aracteristic of a Bill of Ec#ange a. Original !arties are t#e $ra+er7 $ra+ee an$ !a%ee b. Acce!tance is generall% reuir e$ c. 2ra+er is !ri,aril% lia ble $. ontain s an uncon$itional or$er
11.
State,ent 1" W#ere a negotiable instru,ent is en$orse$ con$itionall%7 t#e !erson liable on t#e instru,ent ,a% $isregar$ t#e con$ition an$ legall% !a% t#e sa,e State,ent *" An instru,ent +#ic# is negotiable in origin continues to be negotiable unless restricti'el% in$orse$ or $isc#arge$ b% !a%,ent a. Bot# state,ents are false b. 3irst state,ent is false7 secon$ state,ent is true c. Bot# state,ent are true $. 3irst state,ent is true7 secon$ state,ent is false
1*8.
State,ent 1" A #ol$er for 'alue is an en$orsee +#o #as bot# t#e legal an$ beneficial interest to t#e instru,ent an$ is sub)ect to bot# real an$ !ersonal $efense a'ailable against #i,. State,ent *" A #ol$er in $ue course is one !ossesses bot# t#e legal an$ beneficial interest to t#e instru,ent but is sub)ect to !ersonal $efenses. a. Bot# state,ent are false b. 3irst state,ent is false7 secon$ state,ent is true c. Bot# state,ent are true $. 3irst state,ent is true7 secon$ state,ent is false
1*1.
In t#e renunciation b% t#e #ol$er of #is rig#ts against an% !art% to t#e instru,ent7 +#ic# of t#e follo+ing state,ents is false0 a. If t#e instru,ent is $eli'ere$ to t#e !erson !ri,aril% liable +it#out collecting it constitutes oral renunciation b. If renunciation is ,a$e in fa'or of an% !art% secon$aril% liable7 all !arties subseuent to #i, are $isc#arge$ fro, liabilit% c. Renunciation +ill not affect t#e rig#ts of a #ol$er in $ue course $. If t#e renunciation is ,a$e in fa'or of t#e !art% liable it ,ust be ,a$e before7 at or after ,aturit% $ate
1**.
E'er% !erson negotiating an instru,ent b% $eli'er% or b% ualifie$ en$orse,ent +arrants t#e follo+ing. W#ic# $oes not belong to t#e +arranties0 a. #at t#e ti,e of #is en$orse,ent t#e instru,ent is 'ali$ an$ subsisting b. #at t#e instru,ent is genuine an$ in all res!ect +#at it !ur!orts to be c. #at #e #as goo$ title to it an$ t#at all !rior !arties #a'e ca!acit% to contract $. #at #e #as no no+le$ge of an% fact +#ic# +oul$ i,!air t#e 'ali$it% of t#e instru,ent or ren$er it 'alueless
1*/.
12
1*4. W#ere in a bill t#e $ra+er an$ t#e $ra+ee are t#e sa,e !erson or +#ere t#e $ra+ee is a fictitious !erson7 or a !erson not #a'ing ca!acit% to contract7 t#e #ol$er7 at #is o!tion7 ,a% treat t#e instru,ent as a. 2is#onore$ b. Bill of ec#ange c. Pro,issor% note $. Eit#er a bill of ec#ange or a !ro,issor% note 1*5. A eecute$ a bill of ec#ange in fa'or of B for P1878887 B later altere$ t#e a,ount to P1887888 an$ !resente$ t#e bill to 7 t#e $ra+ee +#o acce!te$ t#e bill. #ereafter t#e bill negotiable b% B to 2. W#ic# is correct0 a. #e acce!tor is liable u! to P187888 onl% b. #e acce!tor is not liable because of alteration c. #e acce!tor is liable onl% u! to P187888 ece!t if 2 is a #ol$er in $ue course in +#ic# case A is liable u! to P1887888 $. #e acce!tor b% acce!ting t#e bill is liable accor$ing to t#e tenor of #is acce!tance7 t#at is P1887888 1*6.
W#ic# is not correct0 a. A c#ec7 e'en if goo$ +#en offere$7 ,a%be refuse$ b% a cre$itor in satisfaction of #is $e,an$ because it $oes not ,eet t#e reuire,ents of legal ten$er b. #e P#il. Peso bills +#en atte,!te$ to be e!orte$7 as +#en carrie$ in ecess of t#at allo+e$ b% t#e entral Ban ,a%be $ee,e$ to #a'e been taen out of $o,estic circulation as legal ten$er an$ t#us ,a%be treate$ as co,,o$it% c. If t#e obligation of a $ebtor is to !a% in $ollars it s#all be $isc#arge$ in P#il. urrenc% ,easure$ at t#e !re'ailing rate of ec#ange at t#e ti,e t#e obligation is incurre$ $. Pa%,ent of t#e $ebtor(s obligation ,a%be ,a$e b% a t#ir$ !erson e'en +it#out t#e no+le$ge an$ consent of t#e $ebtor
1*;.
Un$er t#e Negotiable Instru,ent La+ +#ic# of t#e follo+ing reuire,ents ,ust be ,et for a !erson to be a #ol$er in $ue course of a !ro,issor% note0 a. #e note ,ust be !a%able to bearer b. All !rior #ol$ers ,ust #a'e been #ol$ers in $ue course c. #e #ol$er ,ust be !a%ee of t#e note $. #e #ol$er recei'e$ it for 'alu e
1*@.
State,ent 1" /? $a%s fro, $ate.M Sg$. A >#e instru,ent is not $ate$? State,ent *"
1*.
I$entif % t#e follo+ing in$orse,ent
1/8.
Un$er t#e Negotiable Instru,ent La+. W#ic# of t#e follo+ing reuire,ents ,ust be ,et for a transferee of or$er !a!er to beco,e a #ol$er0 I. ransferee in !ossessio n of t#e note II. In$orse,ent of transferor an$ $eli'er% to t#e transferee a. I onl% b. II onl% c. I an$ II $. None of t#e abo'e
1/1.
A !erson +#ose signature $oes not a!!ear on an instru,ent is not liable t#ereon7 ece!t a. W#ere a $ul% aut#ori&e$ agent signe$ for #i, b. W#ere #e forges t#e signature of anot#er !erson c. W#en #e signs in an assu,e$ or tra$e na,e $. All of t#e abo'e
1/*.
,aes a negotiable note in fa'or of P !a%able on 2ece,ber *57 *88A7 +it# t#e follo+ing successi'e in$orse,ents. P to A7 A to B7 B to 7 to 2. on t#e $ue $ate is !a%ing 27 but 2 e ten$s t#e !a%,ent u! to 2ece,ber *57 *88B. W#ic# of t#e follo+ing is incorrect0 a. If beco,e insol'ent on 2ece,ber *57 *88B7 P7 A7 B7 are $isc#arge$ of t#eir obligation b.
1//.
State,ent 1" #e referee in case of nee$ is liable on t#e instru,ent an$ if #e refuses to !a% #e ,a%be sue$ in t#e court State,ent *" #e a'alista is liable on #is +ritten obligation an$ if #e refuses to !a% #e ,a%be sue$ in t#e court a. rueH true b. rueH false c. 3alseH true $. 3alseH false 13
1/4.
A is t#e ,aer of a !ro,issor% note for P1887888!a%able to t#e or$er of B +#o negotiate$ t#e sa,e in fa'or of . lost t#e note an$ is foun$ b% = +#o forges t#e signature of an$ !reten$ing to be negotiate$ t#e note to 27 2 to E7 E to 3 to : +#o is a #ol$er in $ue course. Un$er t#e circu,stances +#ic# of t#ese is not an incorrect state,ent0 a. Being #ol$er in $ue course7 : can reco'er fro, ,aer A b. #e signature of being forge$7 it beco,es ino!erati'e an$ !a%,ent cannot be enforce$ as against #i, c. E is not liable to 3 !recisel% because #e +as not t#e one +#o forge$ t#e signature of $. = is not liable to an% !art% to t#e instru,ent since #is na,e $oes not a!!ear t#ereon
1/5.
9ol$er 97 !erfectl% altere$ t#e a,ount of a negotiable note fro, P187888 to P1887888 t#en negotiate$ t#e note to P. W#ic# is correct0 a. If P is a #ol$er in $ue course7 #e can reuire t#e ,aer to !a% P1187888 b. If P is not a #ol$er in $ue course7 #e can reuire t#e ,aer to !a% onl% t#e original su, of P187888 c. P cannot reuire t#e ,aer to !a% because of alteration +#et#er or not #e is a #ol$er in $ue course $. If P is a #ol$er in $ue course7 #e can reuire t#e ,aer to !a% P187888
1/6.
#e follo+ing are all reuisites of an acce!tance for #onor. #oose t#e ece!tion a. #at t#e bill ,ust #a'e been !re'iousl% $is#onore$ b% non-acce!tance or !roteste$ for better securit% b. #at t#e bill is alrea$% o'er$ue c. #at t#e acce!tance for #onor ,ust be +it# t#e consent of t#e #ol$er $. #at t#e acce!tor for #onor ,ust not be a !art% alrea$% liable on t#e instru,ent
1/;.
I$entif % t#e follo+ing in$orse,ent.
1/@.
State,ent 1" A c#ec ,ust be !resente$ for !a%,ent +it#in a reasonable ti,e after its last negotiation State,ent *" A Bill of Ec#ange ,ust be !resente$ for !a%,ent +it#in a reasonable ti,e after its last negotiation a. rueH true b. rueH false c. 3alseH true $. 3alseH false
1/.
Un$er t#e Negotiable Instru,ent La+7 +#ic# of t#e follo+ing reuire,ents ,ust be ,et for a transferee of bearer !a!er to beco,e a #ol$er0 I. 2eli'er% b% t#e #ol$er onl% to t#e transferee II. En$orse,ent of transfer an$ $eli'er% to t#e transferee a. I onl% b. II onl% c. Bot# I an$ II $. Neit#er I an$ II
148.
issues a bill !a%able to t#e or$er of R +it#out en$orsing t#e bill transfer for a consi$eration sai$ bill to . #e follo+ing ece!t one7 are t#e 'ali$ effects of t#e transfer a. beco,es a #ol$ er b. reuires t#e rig#t to #a'e t#e en$orse,ent of R c. #e transfer 'ests in suc# title as R #a$ t#ereon $. #e bill is ,erel% assigne$ an$ not negotiable
141.
Ite, 1" <o =" Pa% to P on $e,an$ t#e a,ount of P578887888 an$ rei,burse %ourself fro, t#e !rocee$s of t#e sale of ,% car +#ic# is still in %our !ossession.
14*.
2isc#arge of !ro,issor% note. W#ic# is t#e ece!tion0 a. If t#e #ol$er intentionall% s#re$$e$ an$ burne$ t#e instru,ent b. If t#e instru,ent is !ai$ to t#e #ol$er b% t#e !art% acco,,o$ate$ c. If t#e instru,ent is !ai$ to t#e #ol$er b% t#e acco,,o$ation ,aer $. If t#e ,aer of t#e instru,ent beca,e t#e #ol$er t#ereof
14/.
W#ic# of t#e follo+ing ea,!les is not negotiable0 a. <o =" PLEASE !a% to t#e or$er of C P57888 on $e,an$.M Sg$" 2 b. <o =" Pa% to t#e or$er of %ourself t#e a,ount of P587888 in t+o EUAL ON9LC INSALLEENS beginning a% /17 *815.M Sg$" 2 c. Pa% to P or bearer t#e a,ount of P587888 on Fune *57 *815 or $eli'er to #i, ten >18? $ogs A 9IS ELEION.M Sg$" 2 $.
144.
W#ic# of t#e follo+ing can be a !artners#i! 0 a. Qaren an$ S#aron for, a c#aritable organi&ation in +#ic# t#e% recei'e$ $onations to gi'e to t#eir fa'orite c#arities 14
b. c. $.
3ran an$ Pablo are ,e,bers of a union at +or t#at #as 158 ,e,bers Fanice an$ Stanle% for, a club to encourage #ealt# a,ong ,e,bers None of t#e abo'e
145.
W#ic# of t#e follo+ing state,ents is correct +it# res!ect to a li,ite$ !artners#i!0 a. A li,ite$ !artner ,a% not be an unsecure$ cre$itor of t#e li,ite$ !artners#i! b. A general !artner ,a% not also be a li,ite$ !artner at t#e sa,e ti,e c. A general !artner ,a% be a secure$ cre$itor of t#e li,ite$ !artners#i! $. A li,ite$ !artners#i! can be for,e$ +it# li,ite$ liabilit% for all !artners
146.
S%$ne%7 Baile% an$ alle for, a !artners#i!. 2uring t#e first %ear of o!eration7 t#e !artners #a'e fun$a,ental uestions regar$ing t#e rig#ts an$ obligations of t#e !artners#i! as +ell as t#e in$i'i$ual !artners. W#ic# of t#e follo+ing uestions can correctl% be ans+ere$ in t#e affir,ati'e0 I. Is t#e !artners#i! allo+e$ legall% to o+n !ro!ert% in t#e !artners#i!(s na,e0 II. 2o t#e !artners #a'e a )oint an$ se'eral liabilit% for breac#es of contract of t#e !artners#i! III. 2o t#e !artners #a'e )oint an$ se'eral liabilit% for tort actions against t#e !artners#i!0 a. I onl% b. I an$ II onl% c. II an$ III onl% $. I7 II an$ III
14;.
In a general !artners#i!7 +#ic# of t#e follo+ing acts ,ust be a!!ro'e$ b% all t#e !artners0 a. 2issolution of t#e !artners#i! b. A$,ission of a !artner c. Aut#ori&ation of a !artner $. on'e%ance of real !ro!ert% o+ne$ b% t#e !artners#i!
14@.
W#ic# of t#e follo+ing is >are? true of a li,ite$ !artners#i!0 I. Li,ite$ !artners#i! ,ust #a'e at least one general !artner II. #e $eat# of a li,ite$ !artner ter,inates t#e !artners#i! a. I onl% b. II onl% c. Neit#er I nor II $. Bot# I an$ II
14.
W#ic# of t#e follo+ing is >are? true concerning cor!orations0 a. 2irectors o+e a fi$uciar% $ut% to t#e cor!oration b. Officers o+e a fi$uciar% $ut% to t#e cor!oration c. Bot# of t#e abo'e are true $. Bot# of t#e abo'e are false
158.
c:arr% is an officer of Norton or!oration. c:arr% #as co,,itte$ a tort +#ile acting for Norton or!oration +it#in t#e sco!e of #is aut#orit%. W#ic# of t#e follo+ing is >are? true0 a. c:arr% is liable for t#e tort co,,itte$ b. Norton or!oration is liable for t#e tort co,,itte$ c. Bot# c:arr% an$ Norton are liable for t#e tort co,,itte$ $. Neit#er c:arr% nor Norton are liable for t#e tort co,,itte$
151.
#e a!!arent aut#orit% of a !artner to bin$ t#e !artners#i! in $ealing +it# t#ir$ !arties a. Will be effecti'el% li,ite$ b% a for,al resolution of t#e !artners of +#ic# t#ir$ !arties are a+are b. Will be effecti'el% li,ite$ b% a for,al resolution of t#e !artners of +#ic# t#ir$ !arties are una+are c. Woul$ not !er,it as !artner to sub,it a clai, against t#e !artners#i! to arbitration $. ust be $eri'e$ fro, t#e e!ress !o+ers an$ !ur!oses containe$ in t#e !artners#i! agree,ent
15*.
W#ic# of t#e follo+ing is not true of a general !artners#i!0 a. O+ners#i! b% t#e !artners ,a% be uneual b. It is a se!arate legal entit% c. An i,!ortant c#aracteristic is t#at t#e !artners s#are in t#e !rofits euall% $. Eac# !artner #as an eual rig#t to !artici!ate in ,anage,ent
15/.
W#ic# of t#e follo+ing is not a !o+er of t#e boar$ of $irectors0 a. a% select t#e officers of t#e cor!oration b. a% $eclare t#e $i'i$en$s to be !ai$ to t#e s#are#ol$ers c. a% a,en$ t#e Articles of Incor!oration $. o a,en$ b%-la+s of t#e cor!oration
154.
#e onetar% Boar$ is co,!ose$ of" a. 5 officials b. 4 officials c. ; officials $. 6 officials
155.
#e Anti-one% Laun$ering ouncil is co,!ose$ of" a. 4 officials b. / officials c. 5 officials 15
$. ; officials 156.
#e #air,an of P2I Boar$ is" a. BSP :o'ernor b. Secretar% of 3inance c. BIR o,,issioner $. SE o,,issioner
15;.
ransactions co'ere$ b% ALA is" a. P5887888 +it#in one baning $a% b. O'er P5887888 +it#in one baning $a% c. P/887888 +it#in one baning $a% $. O'er P/887888 +it#in one baning $a%
15@.
#e #air,an of AL is" a. BSP :o'ernor b. Secretar% of 3inance c. #air,an of SE $. SE o,,issioner
15.
a)orit% of t#is bo$% is reuire$ b% la+ to be la+%ers" a. onetar% Boar$ b. P2I c. AL $. SE
168.
Perio$ +it#in +#ic# t#e $e!ositor can reco'er #is ban $e!osit fro, P2I" a. Wit#in one %ear fro, taeo'er b% t#e recei'er b. Wit#in t+o %ears fro, taeo'er b% t#e recei'er c. Wit#in si ,ont#s fro, taeo'er b% t#e recei'er $. Wit#in 1@ ,ont#s fro, taeo'er b% t#e recei'er
161.
R.A 1485 is !o!ularl% no+n as" a. P2I La+ b. Secrec% of Ban 2e!osit La+ c. Ne+ entral Ban Act $. Anti-one% Laun$ering La+
16*.
#e la+ t#at !unis#es t#e issuance of bouncing c#ecs" a. BP 6@ b. BP ** c. R.A /51 $. R.A 168
16/.
Esc#eate$ ban $e!osits +#ic# +ere not clai,e$ for o'er 18 %ears are re,itte$ to" a. Bureau of Internal Re'enue b. entral Ban c. P2I $. Bureau of reasur%
164.
Voluntar% $issolution of a coo!erati'e reuires t#e a!!ro'al of" a. a)o rit% of t#e Boar$ an$ *J/ of t#e ,e,bers b. a)o rit% of t#e Boar$ an$ /J4 of t#e ,e,bers c. a)orit% of t#e Boar$ an$ a)orit% of t#e ,e,bers $. a)orit% of t#e Boar$ onl%
165.
#e ,ini,u, !ai$ u! ca!ital in a coo!erati'e is" a. P57888 b. P187888 c. P157888 $. P1887888
166.
o re,o'e t#e Boar$ 2irector un$er t#e oo!erati'e o$e reuires t#e a!!ro'al of" a. *J/ of t#e ,e,bers b. /J4 of t#e ,e,bers c. a)orit% of t#e ,e,bers $. All ,e,bers
16;.
#e uoru, nee$e$ for a 'ali$ :eneral Asse,bl% for coo!erati'es"" a. a)orit% of t#e ,e,bers b. *5G of t#e ,e,bers c. *J/ of t#e ,e,bers $. /J4 of t#e ,e,bers
16@.
oo!erati'es can legall% eist for" 16
a. b. c. $.
58 %ears eten$ible for anot#er 58 %ears 58 %ears eten$ible for anot#er *5 %ears 58 %ears eten$ible for anot#er *8 %ears It $e!en$s on t#e ter, !ro'i$e$ in t#e oo!erati'e #arter
16.
#e QC Rule can be foun$ in t#is La+" a. Secrec% of Ban 2e!osit La+ b. P2I La+ c. Anti one% Laun$ering $. :eneral Baning La+
1;8.
Un$er t#e Ne+ entral Ban Act7 t#e BSP :o'ernor ,ust be" a. At least /5 %ears ol$ b. At least 48 %ears ol$ c. At least 45 %ears ol$ $. At least 58 %ears ol$
1;1. 1st state,ent" #e first ,a)or function of P2I is to act as liui$ator of close$ bans. *n$ state,ent" #e !rinci!al function of AL ouncil is to act as financial intelligence unit. a. rue7 rue b. 3alse7 3alse c. 3alse7 rue $. rue7 3alse 1;*. 1st state,ent" Voluntar% Insol'enc% is file$ b% 1 cre$itor onl%. n$ * state,ent" inors can o!en an% ban account if at least ; %ears7 can rea$ an$ +rite an$ +it# sufficient $iscretion. a. rue7 rue b. 3alse7 3alse c. 3alse7 rue $. rue7 3alse 1;/.
#e 2OSRI Rule can be foun$ in t#is La+" a. Anti-one% Laun$ering La+ b. :eneral Baning La+ c. Secrec% of Ban 2e!osit La+ $. Insol'enc% La+
17
