These are ACCA F4 Global (CL/LW) Corporate and Business Law MCQs for Part-B of the Syllabus “International business transactions”.

These multiple-choice questions (MCQs) are designed to help ACCA F4 Global students to better understand the exam format. We aim to instill in students the habit of practicing online for their CBE exams. By doing so, students can reduce exam stress and prepare more effectively.

Please note:

Students should not attempt these MCQs until they have studied the entire chapter.
All questions are compulsory, so please do not skip any.

We hope that these MCQs will be a valuable resource for students preparing for the ACCA F4 Global (CL/LW) exam.

INFORMATION ABOUT THESE CBE MCQs Test/Quiz

Course:	ACCA – Association of Chartered Certified Accountants
Fundamental Level:	Applied Skills
Subject:	Corporate and Business Law
Paper:	F4 Global – CL/LW
Chapter:	Obligations and risk in contracts for international sales
Chapter Number:	05 of the Practice and Exam Kit
Syllabus Area:	B – “International business transactions”
Questions Type:	CBE MCQs
Exam Section:	Section A

Syllabus Area

These Multiple Choice Questions (MCQs) cover the Syllabus Area Part B of the Syllabus; “International business transactions” of ACCA F4 Global (CL/LW) Corporate and Business Law Module.

Time

These MCQs are not time-bound. Take your time and solve them without stress. Pay proper attention and focus. Do not rush or hesitate.

Result

Students will get their F4 Global CBE MCQs Test results after they finish the entire test. They will also be able to see the correct and incorrect answers, as well as explanations for the incorrect questions.

Types of Questions

MCQs: Choose one from the given options.
Multiple choice: Choose all those answers which seem correct/ or incorrect to you, as per the requirement of the question. Keep your eye on the wording “( select all those which are correct/ or incorrect)“.
Drop-down: Select from the list provided.
Type numbers: Type your answer in numbers as per the requirement of the question.

Keywords

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F4 (GLO) - Chapter 05 - Part B - MCQs

Course: ACCA - Association of Chartered Certified Accountants
Subject: F4 (LW/CL) (GLOBAL) - Corporate And Business Law
Syllabus Area: B - International business transactions
Chapter in Kit: 05 - Obligations and risk in contracts for international sales
Exam Section: Section A
Questions type: MCQs
Time: No Time Limit

INSTRUCTIONS

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1 / 15

If a contract that involves carriage of the goods, formed under the UN Convention on Contracts for the International Sale of Goods does not specify a place where the goods are to be delivered, at which point does the seller discharge their obligations with respect to delivery?

When the goods are handed to the first carrier for transmission to the buyer

When the goods are delivered to the buyer's place of business

When the goods enter the country of import

2 / 15

If a contract formed under the UN Convention on Contracts for the International Sale of Goods does not specify a time period for delivery, when should delivery take place?

Within a reasonable time after the contract is formed

As soon as is possible after the contract is formed

Within 30 days of the formation of the contract

3 / 15

Which of the following correctly states the conformity requirements for goods sold under the UN Convention on Contracts for the International Sale of Goods?

Fit for the purpose that goods of the same description would ordinarily be used

Fit for the purpose that the goods could reasonably be put to

Fit for any purpose the buyer may put them to

4 / 15

Which of the following correctly states the obligation of the buyer with regard to delivery of the goods under the UN Convention on Contracts for the International Sale of Goods?

To take all necessary measures to minimise the cost of delivery to the seller

To be available to take delivery when it is attempted

To do all reasonably expected acts in order to enable the seller to make delivery

5 / 15

In which of the following circumstances may a seller declare a contract with a buyer avoided under the UN Convention on Contracts for the International Sale of Goods?

Where the buyer has not paid and the seller has granted extra time to pay

Where the buyer is late in their performance to accept and pay for the goods

Where the buyer has refused to accept and pay for the goods

6 / 15

Which of the following correctly describes anticipatory breach of contract under the UN Convention on Contracts for the International Sale of Goods?

A declaration by the buyer at the time delivery is made that they will not accept or pay for the goods

A declaration by the buyer before delivery is made that they will not accept or pay for the goods

A declaration by the seller at the time delivery is due that due to unforeseen circumstances they will not deliver the goods

7 / 15

Under the UN Convention on Contracts for the International Sale of Goods, where a buyer is late in paying for the goods, which of the following remedies is the seller entitled to?

Damages only

Interest and damages

Interest only

8 / 15

Where a contract has been avoided under the UN Convention on Contracts for the International Sale of Goods, which of the following statements is correct?

Any rights the parties have regarding the settlement of disputes are lost

The contract must be rectified

Neither party may claim damages

Any party that has partly performed their obligations has the right to restitution

9 / 15

Under the UN Convention on Contracts for the International Sale of Goods, where a contract includes carriage but does not state where risk passes, at which point does the risk to the goods pass from seller to buyer?

When the goods enter the buyer’s country of import

When the goods are passed to the first carrier for delivery to the buyer

When the goods leave the seller's country of export

When the buyer receives the goods

10 / 15

Under the UN Convention on Contracts for the International Sale of Goods, goods do not have to comply with rules and regulations in the buyer's state unless one of a number of exceptions applies.

Which one of the following is NOT an exception to the rule?

The seller knew of the rules due to special circumstances

The same rules apply in the seller's state

There is evidence that the seller should have known about the rules when the contract was formed

The buyer told the seller of the rules and then relied on the seller's expert knowledge

11 / 15

Which of the following remedies is ALWAYS available to the buyer in a contract under the UN Convention on Contracts for the International Sale of Goods when the seller is in breach of contract?

Require performance

Damages

Declare the contract avoided

Reduce the price due to lack of conformity of the goods

12 / 15

In a contract under the UN Convention on Contracts for the International Sale of Goods, where the place of payment is not specified in the contract, where should payment be made?

At the place of import in the buyer's country

At the buyer's place of business

At the place of export in the seller's country

At the seller's place of business

13 / 15

Gur is in breach of his contract to buy a consignment of goods from Yac. The goods cost Yac $1,000 to make and the selling price to Gur was $2,000. Yac had an offer to sell the goods to Hef instead for $1,500 but decided to refuse the opportunity.

What is the value of damages that Yac will be entitled to under the UN Convention on Contracts for the International Sale of Goods?

$1,000

$500

$2,000

$1,500

14 / 15

Which of the following is a valid exemption for a seller being liable for breach of contract?

Unexpected circumstances preventing performance could not be avoided or overcome

Unexpected circumstances made performance more expensive than agreed

Unexpected circumstances made performance more difficult than agreed

Unexpected circumstances required a change in delivery method

15 / 15

Jac took delivery of a consignment of fresh fruit from Kel. He intended to reject the goods for lack of conformity but Kel could not collect the fruit for a week, by which time the fruit would have perished.

The value of the fruit under the contract was $2,000 and Jac decided to sell the fruit rather than let them perish. The fruit was sold for $1,500 and Jac incurred $300 selling expenses.

In these circumstances, which of the following statements is correct?

Jac must pay Kel $1,500 for the fruit less $300 selling expenses

Jac must pay Kel $1,500 for the fruit, he cannot claim back any selling expenses

Jac must pay Kel $2,000 for the fruit less $300 selling expenses

Jac must pay Kel $2,000 for the fruit, he cannot claim back any selling expenses