Q5) Tick the correct answer. 1. A standing mechanism for dispute resolution in a contract involves: (a) Leaving all disputes till the completion of the contract (b) Dissolving a contract and forming a committee to redraft it (c) Selecting arbitration as the mode of dispute resolution in a contract (d) None of the above 2. A specific offer can be accepted by: (a) Any person (b) The addressee (c) Both of the above (d) None of the above 3. An essential feature of a contract for Sale of Goods under the Sale of Goods Act, 1930 is: (a) A need for three parties (b) A need for payment of money (c) Both of the above (d) None of the above 4. A two-stage bidding process involves: (a) Two different bidders winning the contract (b) Procurement to be made by two different agencies (c) Only two eligible bidders being allowed to bid for a contract (d) None of the above 5. In case the goods perish before a contract: (a) The contract becomes void (b) The seller bears the losses (c) The buyer bears the losses (d) None of the above 6. In a normal commercial contract, the generally applicable principle in case of supply of goods is: (a) Caveat emptor (b) Caveat venditor (c) Seller beware (d) None of the above 7. Earnest Money Deposits (EMDs) are: (a) Money deposited in a bank to earn interest (b) Money deposited with a contractor (c) Money deposited to an insurance company as advance (d) Money deposited with a procurement agency for a contract 3 8. An offer can be revoked by: (a) Lapse of time (b) Counter Offer (c) Both of the above (d) None of the above 9. Aim of the tendering process is: (a) Discovery of best price for the product to be supplied (b) Facilitating one supplier of the product (c) Disqualifying eligible suppliers (d) All of the above 10. The next step in an invitation to offer is: (a) An offer from the opposite party (b) An acceptance from the opposite party (c) A counter offer (d) A cross offer