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X is an agent for Y. There is a contract between X and Y that all sums remitted by Y to X shall be invested by X, according to Y's direction. Y remits Rs. 10 lakh to X, with a direction to X to invest the same in 'infrastructure bonds'. X dishonestly disobeys the direction and puts the money in his own business with a hope that the investment will generate more profit. X has committed

Correct Answer: Criminal breach of trust

A, residing in Calcutta, is agent for Z, residing at Delhi. There is an express or implied contract between A and Z, that all sums remitted by Z to A shall be invested by A, according to Z's direction. Z remits a lakh of rupees to A, with directions to A to invest the same in Company's paper. A dishonestly disobeys the directions and employs the money in his own business.

A, a resident of Chennai, is an agent for B, a resident of Delhi. There is an express contract between them that all sums remitted by B to A will be invested by A in accordance with B's direction. B remits Rs. 5 lakhs to A with the direction that it be invested in buying shares of X company. A instead invests the same in buying shares of Y company believing in good faith that this will fetch more profit to B than investing the money in X company as directed by B. B suffers loss, because the value of shares of Y company declines. A is liable

A contractor has two options; (l) : Invest his money in project A or (II) : Invest his money in project B. If he decides to invest in A, for every rupee invested, he is assured of doubling his money in ten years. If he decides to invest in B, he is assured of making his money 1.5 times in 5 years. If the contractor values his money at 10% interest rate, he

If the first two statements are true, the third statement is :
I. Tom puts on his socks before he puts on his shoes.
II. He puts on his shirt before he puts on his jacket.
III. Tom puts on his shoes before he puts on his shirt.

Which of the following will be considered as tax planning effort?
1. Mr. A purchased a house for self-residence of Rs. 8 lakh by taking a loan of Rs. 60 lakh from SBI at 10% interest, instead of using his own funds.
2. Mr. A made investment in purchasing 12% redeemable debentures of TISCO worth Rs. 1.50 lakh.
3. Mr. A purchased 100 gm gold biscuits of Rs. 2.5 lakh from SBI on the occasion of Diwali.
4. Mr. A invested Rs. 1 crore in purchasing 5 acres of agricultural land in his native village in Gaya.

Which of the following is not an agreement in restraint of trade?
1. A sells the goodwill of his business with an agreement not to carry on a similar business within specified local limits, so long as the buyer carries on a similar business.
2. A sells the goodwill of his business with an agreement not to carry on a similar business within India, so long as the buyer carries on a similar business.
3. A sells the goodwill of his business with an agreement not to practice the same trade for 25 years.
4. A sells the goodwill of his business with an agreement not to engage in any business competing or liable to compete in any way with the business for the time being carried on by the buyer.

Prakash, Sachin and Anil started a business jointly investing Rs. 11 lakh, Rs. 16.5 lakh and Rs.8.25 lakh respectively. The profit earned by them in the business at the end of 3 years was Rs. 19.5 lakh. What will be 50% of Anil's share in the profit ?

The Propositions are:
(1) Where a partner of a professional business partnership borrows money in the usual and regular course of business stating that the money is to be used for partnership business but misappropriates it, the other partners shall be liable.
(2) Where money has been borrowed by a partner without authority, but has been applied to the legitimate business needs of the firm, the firm is liable.
(3) Where the act is within the scope of the implied authority of a partner, but it has been done by him, to the knowledge of the third party, not for the firm but for his own purposes, the firm is liable.
Which of the following is true in accordance with Indian Partnership Act, 1932 as to the aforesaid propositions?

Vishal and Raghu jointly started a business. Vishal invested three times as Raghu did and invested his money for double time as compared to Raghu. Raghu earned Rs. 4000. If the gain is proportional to the money invested and the time for which the money is invested then the total gain was ?

What is a mutual fund?
1. A type of collective investment scheme that pools money from many investors and invests it in stocks, bonds or other money market instruments.
2. It is a subsidiary of a bank or financial company created specially to raise money to be invested in a particular industry such as housing, infrastructure, etc.
3. When several banks and financial companies come together and create a common pool of money to fund mega infrastructural project like bridges, roads, power plants, etc., the common pool is known as mutual fund.