CPA lteview School of ihe Plñlippines
FIRST PRE-BOARD EXAMINATION
Regulatory Frameworh for Business Trnnsactioits
ñaturdny, .F'ebruary 15, 2020
10:30AM to 12:30PM
Jamur#oxs:Choose 4e BEST answer for each of the following items. Mark only One answer for each item on
the Specid Answer Sheet provided, StEctly no erasure allowed,
1. Which of ¥e following is not correct?
a. A solidary creditor car assign his right even without the consent of ie o4er creditors
b. Remission of ie debt by any of the solidary creditors shdl exting'uish the obligation
c If two or more 9olidary debtors offer to pay, the creditor may choose which offer to accept
d. The debtor may pay any of the solidary credltors but if any demand has been made by one of them,
payment should be made to him
2. A borowed Php 200,000 from solidary creditors B and C. On due date, J3 sent a lener to A demanding payment
of the loan directly to him, but before A could comply, C went to A to collect and so A péd C. Did A make a
valid payment?
a.
b.
c.
d.
Yes, because the debtor may pay ony of the solidary creditors
No, because payment should be made to B
Yes, because any of the solidary cfeditors may demand payment of the whole obligation
No, because A should have split the payment be>use both creditors demuded payment.
3. Which of the follozang is correct?
a. The effect of a condiional obligation to give, once 4e condition has been fulfilled, shall retroact to the
day of the consiNtion of the obligaion
b. If the obligation is unilateral, the fniits and interest during the pendency of ie condition shall be deexed
to have been muNally compensated
c. Hthe obligation imposes reciprocal prestations upon the parties,the debtor shall appropriate the fruits and
interests received, unless fvom the nature and circumstances of the obligation it should be inferred that the
intention was different
d. In an obligation to do and not to do, the perfies shall determine, in each case the retroactive effect of the
condiaon that has been complied with
4. A Japuese naaonal and a Filipino nationé entered into a contract for serviGes in Thailand. The services will
be rendered in Singapore. In case of breach, what law will govern?
a. Théland Law
b. Philippine I.aiv
c. Singapore Law
d. Japanese Law
5. A orally okered to sell his rice land to B for Php8M. B orally accepted 4e offer. The land is to be delivered
through tne execution of a notanzed Deed of Sde and 4e price is to be paid directly two weeks from their
ord agreement. Which of the following in most accurate?
a. lf A refuses to deliver the land on the agreed date despite payment made by B, the laner may not
mccessfully sue A because the conoRCt is unenforceable
b. If A refus& to deliver %e land, B may mccessfully sue A for ie fulfillment of the obligation before the
payment of the purchase price
c. The contract between A and B is rescissible
d. The contract between A and B is Sub|eY to ratification by the parties.
6. If at the Lrne the contact of s&e is perfected, the thing which is the object of the contact has been entrely
lou, which of the following most accurately completes the statement?
a. The buyer bears the risk of loss c. The contract shall be without any effect
b, The seller bears the risk ol‘1oss d. The buyw may withdraw from the contact
7. % B, C and D ue the solidary debton of Y for Php 80,000. Later, Y released D from &e payment of his share
of Php 20,000. When the obligation became due and demandable, C, turned out to be insolvent.Should the
share of C be divided between A and B?
a. Yes, remissionof D's share carries with it ñe toW ezttnguishmentof his obligation
b. Yes, the civil code recognizes remiuion as a mode of extinguishing an obligation
c. No, the m1e is 4at 4e gmtuitous acts should be restnctively construed, allowing only the least
Yansmiuion of rights
d. No, as the release of 4e share of one debtor would ten increase ie burden of the other d&tors without
their consent.
Questions No. it to 12
8. A owes B Pl00,000 which is already Ae and demandable. Later, through violence and infimidation, A forced
B to sign a promissory note wluch reads “I promise to pay A Pl50,000 on April 10, 2020. Sgd. B”. On April
10, 2020, how much can A collect from B?
a. P50,000
b. P100,000
c. Pl50,000
d. P0
9. Using the above facts, on April 10, 2020, how much can B collect from A?
a. P50,000 b. Pl00,000 c. P150,&0
d. PO
10. Using the facu in no, 8, If A assigns the promissory note to C withnt the knowledge of B, how much can C
collect from B?
a. P50,000 b P100,600 c. P150,000 d. P0
11. If B assigns his credit tD D flout the kiow1&ge of A, how much can D collect from A?
a. P50,000
b. P100,000
c. P150,000
d. P0
12. Auume tha ie &1igation of A to B is not yet due, and A assigns the promissory note to C on April 10, 2020
without 4e knowledge of B, how much can C collect from B7
a. P50,000
b. Pl00,000
c. P150,000
d. PO
13. A, B and C are solidary debtors sharing at 1:2.3 of solidary auditors W and Y sharing at 1:2. The obliganon
is Pl2,000. IfB is a minor and C is insolvent and W condones ie obligation of A without the consent of Y,
how much can W collect from A?
a. P8,000
b. P6,000
c. R,000
d. P0
14. How much can Y collect from A?
a P4,000
b. P6,000
c. P2,000
d. P0
15. A owes B Pl00,000 secured by a mortgage. C, girlfriend of @ aad with no interest at all in ie obligation,
paid B the P100,000 without the 1mowl&ge of A. Which of ie fokowing course of action is dlowed?
a. C cen recover Pl00,000 from A c. C is subrogated to the rigbu of B
b. C can foreclose the mortgage d. C is a person who is interened in the Mfillment of the obligation
16. To be valid and enforceable, the following conoscts should be in wriang, except:
a. ConBam to pay interest on loan
c. Contract giving autbonty to an agent to sel a piece of Iged
b. Contr& of donation of real property d. Contact made in consideration of marriage
17. X borrow& money kom Y. X conniNted a red estae mortgaj;e over his house to secure the loan It was
stipulated 4at in case X could not pay the loan on time, 4e house would belong to Y. Which is copect?
a. Y shall become ownu of4e house upon default by X by virtue of leir wrifien agreement
b. Y &d1 become tfie owner of the house by virtue & the defaultof X
c. Y shall only enjoy 4e right of alienation over 4e land
d. Y shall be enti9ed to 4e right of appopriation of the land
18. @ minor, aold Ae ring of his brother without mtboHty. The fing has a f&r marketvdue of PIM and selling
pfcswasP600,000.ThzOosDaMh
a. Rescisaible
b. Void&le
c. Unenforceable
d. Void
19 Plsing 4e preceding number, the i‘enicdy is
a. A sun ask for annulment
b. The brother can ask for annulment
c. 7’he buyer can ask for annulment
d. The broler can just ignore the contract
20. Spouses H and W are under the regime of absolute I’.OiTi1TlLlt11ty of propery. H, through violence and
iiitimidation ob&lncd 4e slgnnture of W to a contract of sale involving W's exclusive property in favor of H
Tlte fér market vdue of the propeñy is PIM but the sellingprice is only P700,000. The sala is
a. Rescissible
b. Voidable
c, Unenforceable
d. Void
21. A owns a parcel of land v'hich he sells to B with a 3 year redempion period. AAer the second year, A dies
leaving his children C, D and E as his heirs. Which of the following is not correct?
a. A can repurchase the whole thing, so anyone among C, D and E may repurchase the whole thing
b. C can redeem his 1/3 share, D his 1/3 share nd E his 1/3 share if B does not require dI of them or any
one of them to redeem the whole property
c. B may demand dl of 4e so-heirs that they come to an agreement upon repurchase of ie whole thing
sold
d. B cannot be compelled to consent to partial redemption
22. A sold his car to B payable in ten equal monthly installments and wi4 a moJgage constiNted on the same
property For B's failure to pay n month's installment, which statement is correct?
a. A may foreclose the mortgage on B's car but he has no longer ie right to recover the balance should it
be sold for an amount lower than what he cldms from B
b, A may seek the cancellation of the sde made to B
c. A may seek fulfillment of the obligation of B to pay the entire purchase price
d. A may seek the cancellation of the sée and later on foreclose the nortgage should he find it impossible
to collect from B
23, The vendor-de-retro shail be entitled to redeem the object of sale within
a. Four years if no penod is agreed upon
b. Thirty days from notice of intention to repurchase
c. Ten years if there is a period stipulated
d. The peHod agreed upon
24. A obtained an interest free loan of P50,000 from B evidenced by a promissory note payable six months a:fler
date. At maNrity A called B by phone to ask for an ecension of one month and oker to pay 20% interest on
the loan. Enticed by the 20% interest, B agreed to the exten9ion of matunty. Which is conect?
a. The interest is a demandable interest by virtue of an agreement
b. The interest is unenforceable
c. The loan is valid but the interest is void
d. The loan and interest are both demandable
25. S sold his piano to B for P200,000, payable in installment. A chattel mortgage +s'as constiNted on the piano.
B defaulted in two installment payments. S demanded payment of ie unpéd obligation amounting to
Pl20,000 and a wit of attachitient was issued and the piano was sold for P100,000, Can S still recover the
deficiency?
a. Yes, even without stipulation
b. Yes, only if stipulated that in case of for<losure the buyer will pay any deficiency
c. No, even if stipulated
d. No, unless there is stipulation
26. A delivered to B the following instniment:
In payment of a gambling debt, A made a promissory notes which reads: “I promise to pay to B P10,000
Sgd. A.” B indorsed the note in blank before as8turity and delivered it to C for value, Whefi dug A refused
to pay and C sued B. Could C recover from B7
a. No, C could not sue B because B did not write 4e name of G as indorsee
b. No, the instmment is not negotiable and B is a•mex assignor of credit
c. Yes, provided C gives notice of dishonor to B o4erwise B is discharged from liability
d. Yes, ie endorsement will be considered us an assignmenq hence B will be liable as an assignor of ie
instrument
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27. Using the preceding number, btit the note is in paymeni of merchandise ptirchased by A from S and A failed
to pay due to insolvency. Could C collect from B?
a. No, C could not sue B buause B did not wite 4u nsme of C as indorsu
b. No, the in9trument is not negotiable and B 1s a lllCfC 88signor of credit
c, Yes, provided C gives noise of dishonor to B olorwise B is discharged from liabiliy
d. Yes, the endorsement wilt be considered as an assignmenth, ence B will bs liable as an assignor of credit
28. A contact of loan is
a. A consensud contract
b. A real contact
c. A fomal contact
d. A solemn contact
29. S.&tement 1 - In sale of personal properties by installment, if the moñgage is foreclosed and 4ere is still a
deficiency, lhe vendor shall have no furthw actlon agénst the purchaser to recover the balance, Any agreement
to the contrary is vold
Statement 2 — In sale on ssaight terms, if the property ntoegaged is foreclosed and lere is deficiency, the
mortgagee may maintén an ae£on against the buyer for the recovery of the deficiency,
a. Both statements ue true
c, Only Statement I is ne
b. Both statements are false
d. Only Statement 2 is true
30. S sold to B her watch for Php 10,000. B will pay seven days aAer delivery. S effected delivery on Jine 22,
2020. k today is June 30, 2020 and B has not elected payment yet, is B in delay?
a. Yes, in feciprocal obligations, if one of the parties fulfills his obligation, delay by the other begins
b. No, unless S makes a demand
c. Yes, because it was stipulated that B will pay within 7days
d. No, the obligation of B is with a penod hence, S should first go to the court for the court to fix the period
31. Which of the following statements is not conect7
a. The vendor is bound to deliver the thing hold and its accessions and accessories in the con&tion in which
they were upon 4e pefection o?the contract
b. All ie fruits of the King sold shall pertén to the vendor from 4e day on which 4e connaci was peJected
c. The vendor shall not be bound to deliver the thing sold, if the vendeR ha9 not paid him the price, or if no
period for the payment has been fixed in the contract
d. The vendor is boxid to transfer the ownership of and deliver, as well as warrant %e thing which is the
object of ssle
32. A take or leave it contact as the entries are already ia the instmment and the parties to the contract either
accept or rdect is
a. CoriYnzt iM adhesion
b. Auto contract
c. Consensual contract d. Real contract
33. An agreement where the pledgor or morigagor will execute a contact aaitsferring ownership of 4e property
pledged or mortgaged to the pledg> or mocg8gee in case of default such execution of the contact will result
a. Pactum commiseorium
b Payment by cession
c. Daeron en pago
d. Tender of payment
34, In which of the following obliga£ons is speciric performanse not available?
a. Obligation to repair the roof of 4s house of a client c. Obligation to give a specific %ing
b, Obligation to give support
d. Obligation to give a generic thing
35, A is indebted to B in lhe amount of P50,000, II C as guarantof, On due date, A tendered payment to B but
B refused. Because of B's refusal A deposited the amount in court. ABer the approvd of th8 consigna6on, A
withdraws the money. Which is coaect? The obligation of
a. A to B is revived if B consents to the withdrawal of the money
b. C to B is fevived if B consents to the wildrawal of the money
c. A to B is extinguished if the refusal of fl to accspt the tendw of payment is unjustifiable
d. A to B reméns and C is not released no guarantor
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36. A is obliged to give his only horse or his only coin' to B, at B's ophon or. July 30, 2020. On July 27, 2020, the
horse éed due to fault of A. Which of the following is coaectP
a. The obligation remdns to be alternative
b A is liable for damages for the death of the horse
c. A is not liable for damages because ie cow is still dive
d. A is liable for ie value of the horse plus damages
37. A, desiring to buy a certain property, hired an expefl to asce<ain its true value. But the expert's opinion turned
out to be wong and A, ie buyer. was 4erefore alisled. May A ask for the annulment of the contact?
a. Yes, because %e opinion was made by ar› expert
b. No, a mere expression of an opinion does not signify hand
c. No, becau.«e A's ouv expeñ commited ie errur
d. Yes, A has r•1ied on the expert's special knowledge
38. \\7iich of the following contact is rescissible?
a Those which are entered into by guardics whenever lhe wards they represent suffer lesion of'/* of ie
value of the object of the contract
b. Those executed in representation of a pincipal, if the totter suffers lesion of more than 'la of ie value of
the object of the conduct
c. Those where one of the pmes 1s incapable of‘gii’ing consent to a coneact
d. Those undertaken in tr”aud of creditors wheii tLo• latter cannot in any oler manner collect the claims due
them
39, D forced C to sign a plomissoo note where C promised to pay D P100,000 where the lawful amount is
P60,000. Wtuch is correct?
a The contract is rescissible because there is lesion
b. The contract is unenforceable
c. D cannot demand payment from C because the contract is voidable
d. D can collect P100,000 from C because th* o•ontract is valid.
40. A obliged himself to give his only cow to B. No date was stipulated for the delivery of the cow. While still
in po•••ession of % the cow ga•/e birth to a calf. Who is entitled to the calf
a. @ because it was born before his obligation to deliver the cow
arises b A, because B has rot yet paid the price
c. B, because the calf was born afier the perfecticri of the centrect
d. B, if he will pay additiond cost for the cali’to bs agreed upon by the parties
41. The debtor shall not lose the right to ntoke use of the peiod in one of tho following cases
a. When he becomes insolvent
b. When he violates any undertaking in consideratit•n of which the creditor agreed to the period
c. When the d&tor attempts to &scond
d. When he does not give nny guaranty or securiy to the creditor
42. A contractof sale possesses three of the following chn•acteristic5 Which is the excepion?
a. Reciprocd, since 4e pariies ue bound by their respective obligaions
b. Onerous, because the parties give almost eqtuvdenl consideration
c. Commutative, since there is an exchange of valuable consideration
d. Rear, because the objec of sate must be delivered for the perfection of the conoact
43. If by virtue of a final judgment based on a nght prior to ¥e zde, 4e vendce is deprived of4e thing purcha.sed,
which of 4e following is correct?
a. The vendee should appeal the decision to mdre tlis vendor li&Ie
b The vendor is not liable if the vendee has renounced 4.e nght to warranty against eviction
c. The vendor shall answer for the eviction even 4ough nothing has been said on the object
d- The vendor may give anoler thing equally satisfactory
44. A poinied a gun and threatened to lull B if B will not sign a promissory note which reads “I promise to pay
A, P100,000”. Out of fear, B signed the rote, It tunted out fat two days earlier, A‘s obligaGon to B amounting
to P100,000 bedtime due and B demanded payment. Now, A alleges compensa0‹xl 1s A correct?
a. Yes, because the promissory note is valid
b No, because the promissory note was signed only because 4ere was intlmldation
c Yes, provided B will agree
d No, because A's obligation does not exist
45, A, B and C solidarily owe \V and Y, solidaiy creditors Php 24,000, where the share of the debtors is 2:3.5
while the creditors is 1:2. The terms of the coneact provide:
1. A w111 pay if Y will pass the May 2020 CPA Bond Exants
2. B will pay on Jtine 10, 2020
3. C will pay on January 15, 2020
On January 15, 2020, W can collect from
a. A = Php 24,000 b. B = Php 12,000 c. fi = Php 24,000 d. C = Php 8,000
4d. Using ie above data, 4e debtor who effected payment is entitled to get reimbursement from
a. B = Php 12,000 b, A = Php 12,000 c. C = Php 12,000 d. A or B = Php 12,000
47. Assuming Y passed the May 2020 CPA Board Exams, Y can collect from
a. A or C = Php 16,800 b. B - Php 4,800 c. A = Php 12,000 d. A or B or C = Php 12,000
4s. On January 15, 2019, A obligedhimself to give to B his only cow or his only dog or his only cat on December
25, 2019. On July 4, 2019, ie cow died after giving birth ts a young cow. Two mon4s later, the cat died due
to the fault ofA. And on November 1, 2019, 4e dog died due to a fortuitous event. Which of the following is
true?
a. The obligation of A is extinguished
b. B is entitled to the young cow having been born after the perfection of the contract
c. A is liable for the vdue of the cat plus damages
d. B can require A to replace the cat by another cat which is equally saisfactory
49. Using the above data, but the right of choice belongs to B, which of the following is correct?
a The obligation of A is extinguished
b. B is entitled to the young cow having been born after the peJection of the contract
c. A is liable for the value of the cat plus damages
d. B can require A to replace the cat by another cat which is equally saasfactory
50. Using 4e preceding number, except that 4e dog is sall dive, ->hich of ie following is not coxectP
a. The obligation of A is convened to a simqle obligaion
b. B can require A to deliver the dog but wilout damages
c. A is not liable for the dea4 oi" ie cow
d. B can require A to pay the value of the cat plus damages
51. When the conétion has been imposed with the intention of suspending the efficacy of an obligation to give,
%e following rules shall be observed, except if the thing
a. Is lost, the obligaion shall be extinguished
b. Is improved by na>re, the improvement shall inure to the benefit of ths creditor
c. Is improved at ie eKpense nf the debtor, he shall hnv• no oler right th<t fat granted to the usukuctuary
d. Deteriorates without the fault of the debtor, the impairment iS to be bOmfl by ths creditor
52. In January 2010, S, 15 years ol§ sold his only car to B, 21 years old. The sxle was without the knowledge of
G, 4e guudl8H Of S. Assuming that an annulment c»e is filed today, which is correGt?
a. S may bring the acdon for annulment c. B tray bting the action ?or anntilntant
b. Gmay b#ng the actlon ?or annulment d. Annulment will not prosper wl3oover will file it
53. The following items, pertain to a contact ot xle, which pennine to contract to sell?
a. Ownership of the thing sold is 4ansferred upon delivery
b. Ownership of the thing is 4ansfe>ed to the buyer at some fti>re tlme
c. The isk of loss i›’ on the buyer upon delivery
d. The risk of loss is on the buyer if the price is no: yet fully paid
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54. On Augiist 1, 20 19, A ugroed to sell his only cow to B and 11 agreed to pay the price of P20,000, if B will pass
the October 20 19 CPA Examination The list of successful exnminees was released on Ocober 19, 2019 and
B is one o? lhose who passed the examination, ks a result,
a. A is enti£ed to the P20,000 pricc plus interest beginning August 1, 2019
b. B is entitled to 9te cow nd its tiult9 beginning Dctober 19, 2019
c. B is entitled to 4e cow beginning August l, 2013 and to lts fruits beginning October 19, 2019
d. A shall deliver the fruits of the cow and B shall pay the interest on the pnce beginning August 1, 2019
55. A and B are solidary debtors of C for Pl00,000 which is due on August 1, 2020, Thinking thal ¥e obligation
is already due, A paid C Pl00,000 on August 1, 2019. What rights will A have on Febmary 1, 2020?
a. A can recover P10,000 reimbursement from B without interest
b. A can recover Pl00,000 from C plus interest from August 1 2019 to Febmary 1, 2020
c. A cx recover P50,000 reimbursement from B with interest from August l, 2019 to February 1, 2020
d. A cannot recover yet from ei%ef B because the obligation is not yet due or C because the paymwlt was
voluntary
56. Using 4e preceding number, but it is already September 1, 2020, which of the following is correct?
a. A can recover from C only the interest from Augu9t 1, 2019 to July 31, 2020.
b. A can reGover P50,000 from B plus interest from August 1, 2019 to August 1, 2020.
c. A can recover P50,000 from B plus interest from August 1, 2019 to September 1, 2020
d, A can recover from C only the interest from August 1, 2019 to September 1, 2020
57. A, B and C ue obliged to deliver a specific cow to W and Y on August 1, 2014. IT today is August 1, 2014,
which of the following is true?
a. A demand made by W against A, B and C consatutes a valid demand agénst all debtors
b. A demand made by W and Y against A will make the debtors in delay
c. If debtor A cannot fulfill his shue in the obligation, the obligation ofB and C is converted into a monetary
obligation to pay the corresponding portion of the. value of the cow without damages
d. lf debtor A is insolvent, the obligation of A, B and C is converted into a monetary obligation to pay
the value of the cow plus damages
58. A is indebted to solidary creditors W, Y and Z for P90,000 due on August 1, 2020, while W owe9 A P90,000
also due on August 1, 2020. On August 1, 2020,
a. Bol obligations ue extinguished by compensation c. Either Y Of Z GdI1 demand P60,000 from A
b. A's obligaion is extinguished up to P30,000
d. Either Y or Z can demand P90,000 from W
59. Which A the following contracs of s£e is void7
a. Where the buyer and seller ue both insane
b. Where the husband aimed his gun to his wife so that his wife wiJ sell her land to him
c. Where the buyer twisted the arm of the seller so that the seller will sign the deed of sale
d, Where the object of the conract has a redhibitory defect
60. Which of the following contracts is void?
a. A minor 9el1ing the ring of her mother without authority from her mother
b, A widow selling the land of her fsther with an oral authonty from her father
c. A guardian selling for P70,000 the necklace of her ward where the fér market value of the necUace is
Pl00,000
d. A contract of s&e between two deaf-mutes who both don't know how to wite
61. A contract of sale between husband and wife is
a. Void, if there is separaion of property in the marriage seYement
b. Valid, when lere is judicial separation of properiy
c. Voidable, if they are under the absolute community of property
d. Resccissble, if they are under the conjugal partnership o? g&us
62. A sold his necklace to B in a public instrument and later orally sold his watch to C. Both items will be delivered
7 days later. On the 5• day, A agén sold ie same necklace to D and the same watch to E. Bol D and E
immediatdy took physical possession of the necUace and watch, respectively and both are not aware of the
previous sale to B and C. Who will have a beler rigltt to the necklace and watch'?
a. B eid C
b. D and E
c. B and S
d. C and D
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ti3, A owes B Pl00,000 A also owos C P100,000. A failed to pay bo1 obligations. B filed t complént in court
and e writ of ntuchistent was issued against A's land situated in Manila. Later, A sells his land in Makati to
D. Whiclt of hie t'ol1owing is not corect7
n, The sale o? the laid in Makati is presumed fiaudulent because a writ of anschment hai been issued
b C iiiay go to court for the rescission of the sde to D
c B may go to cou< ?or ¥e rescission of ie sale to D
d. Neither B nor C can go to court for the rescission of the sale to D because the land in Makati was not the
object o? the wit of afiflGhnient.
64. A has Vo creditors, B and C, the obligaton to B is P1O,000 and to C is Pl2,000. Later. with ie consent of
A and B, W peys B P10,000. Now W and C are the creditor of A. Suppose A has only Pl2,000, which is
correctP
a. C should be preferred
c. C and W should be péd propomonately
d. A may choose wt1om to pay
b. W sho%d be prefered
65. In the following cases, the contact of sale with a right of repurchase shall be deemed an equitable mortgage,
avcept when
a. The vendor renséns in posses9ion of ie
object b The vendee reténs a portion of the
price
c. The price is inadequate
d. The parties renew the instrument afler the expiration of the period to repurchase
66. A sold his cer to B “oil sale or return witNn 10 days”. On the 7° day after delivery, 4e car was forcibly taken
by 4e camappers. ln tltis case
a The contact o?sale is terminated
b B must sfill pay the purchase pnce
c. A bears the loss
d. B can refuse to pay unless A delivers another car
67. In the following cases, the vendor is not obliged to m&o delivery after perfxtion of the con£ac of sale,
except
a. The vendee has not péd the p«ce
b. No period for payment has been fixed in the contract
c. Vendee lost the right to make use of the period to psy
d. A period té›r the payment has been fixed in the contract
d8. K and Q are siblings. They remain cD-owners of a parcel of land which 4ey inherited from 4eir decused
pareng. The land is adjoined by ¥e lots of M in the noflh and B in the Sou4. K sold his undivided half share
of the inheritance to H. In %s case, legal redempnon shall be allowed in favor of
a. Q
b. M
c. B
d. All of the &ove proportionately
69. A sold his car to B pay&le in un equd monthly installments and with a mortgage constituted on the same
property. For B's failure to pay s nxonth's installment which statement is coael? A may
a. Foreclose ie mortgage on B's car but he has no longer the riQt to recover the balance should it be sold
for ai amount lower than what he cl&ms ñom B
b. Seek the cancellaaon of ie sale made to B
c. Seek fulfillment of the obligason ofB to pay the enére pwchue price
d. Seik the cancellation of the sale and later on foreclose the mortgage should lie fxnd it impoxible to
collect from B
70. Which of 4e following is a valid stipulation?
a. A promises to give B Pl0,000, and if A fails, A will allow B to have sexual intercouse with her for one
week
b. A will give B Pl0,000, if C will go to planet SaNm within the yen
c. A ogreed to give B a house and lot if B will kill A's wife
d. A agreedto put poison on the food of B's wife and if A fails, to pay B P10,000 for damaga
8
7.1
wks } avin,q lii.s lino,‘ required by I\, cl ni cad•‘d c‹ nsti‘uata›n mxtcrittls, su it ‹›ix1Iy t‹›(d Thu xuIl‹•i C’, “f›ivo
B jJje i1i»tcn«ls, I »]iall be fe»pon»ible. I fifth y¿y in IU dt\y» C’ Jfilivcrc4 tl1u i=aterialu At ti i»1‹jlt, 1lyu «untin«t
g, Is unc‘hfiotceable t›rc»\ise A n\ndr nt1 ‹'r.\l agrcel\1eilt tt» unswt:r l'‹›r ti\u di:I›t ‹›f* II
b. Is ekfor«cuh1e bccRux« A JiJ net lxMt‹c R x)»«iirl {›r‹1t›\il« tc xM.n‹vci’ t'ci’ II\« dctii‹ilt nt*»ni›t j1ei {›urxnn
a Shxll bu c‹4orcc•ablc lf tl\*:ie is iañlic'nt1‹›i\ fry A
rt. 1'hc Oonknct shtdl be unentbrce»blc ifi tl\c v1lu«i:i tit lcn»t I’S0U 00
71 A was ie mgistered owner of a passenger jcepney whiclt was involved in ii collision acci‹leiit with o delivery
truck, resulting iti ie dea£i ot‘tlu’ee passe•b• S •R* injU1‘ics to ti›tii, At the tilnc of’the iccitleitt, A was legally
married to B but was coltttbiting with I" it1 a roltttionstilp stiin to tltiit. cif o husband t<d wilt. ’I'he ho'rs of the
dead passengers and the injured persons sought io recover dnmages, Whivh oL the following ix correct"
a. The liability of A ?or damages will be on the bssis of ctllpa conlrnclunl
b. The liebiliy of A ?or damages will be on ths basis ot’ijuusi-tlelict
c. B is liableto the same extent as A because »'lte is also the owner ol“ tile pass**nget- je•epney
d. C i9 not llable, as the parainoui’ of A, G is not o co-outer
73. A sold to B a house and lot for Php SM payable 30 days utter the execution of the deed of sole. lt was expressly
agreed in the deed 9tat the me would ip9o f'itcto be of no eff<•ct upon B's failure to pay as agreetl. B failed to
pay on matutiq•, and A sued to declare thg cOHtrRct of no force and effect. It' B tendered payiiient betore the
ac¥on was filed btit subsequent to 4c stipulated date o1‘payment, would the action prosper'/
a. 3 eS, Gonracts shall have Cle ?orce of la'z' batn'eei1 the contracting parties
b. No, 4e sCpulaioi› is void for beiRQ GOfIB’8 tO lftW
c. No, at the tme B tendered payment of’tlto purchase pice, tltei'e wcs still no demand made upon him by
A for the payment of the said purchase price either judicially or by notvinl act
d. Yes, the stipulation that upon failure t‹i pay the price sgreed upon the fecission Of the cotttract shall of
right take place. shall bond boUt contrnctin8 p*rties
74. The liability ofjudgment debtor A utider en obligation imposed by a final judgment is to pity Php 10,000 but
A and ie judgment creditor B subsequently entered into a contract reducing the liability of A to only Php
5,000. Which of the following is coiTect?
a. There is an implied novation because the existing obligation is extinguished
b. Novation result in the eninguisliment of an exisong obligation and new one is substituted in its place
c. The payment by C of the reduced atnount was Cte result oFt)te new obligaion
d. The agreement to reduce 4e judgment debt to Php 8,000 completGly exonguished the judgment
debt and released A from his pecuiliaq liability
75. A oNered to sell her car tc B for Php 200,000. Añer inspecing the car, B offered to buy it for Php 180,000
which was accepted by A. The next day, A offered to deliver the car but iS being shoe of fund9, secured
postponement of the delivery, promising to pay the price “upon anival of the vessel C”. The vessel, however
never anived because it was wrecked by n typhoon and sank somewhere off t1io• coast of Leyte. Which of the
following is cooect?
a. The promise to pay is with regard to lhe date of arrivd and not with regard to the ?a•-t of’arrival
b. A can compel B to pny the purchase price because there is already a perfected contract
c. The promise to pay is conditional, that is “upon arrive of the vessel C”
d. The condition is deemed fulfilled because the falure of ie vessel to anive is due to a fortuitous event
76. In order that consignation shall produGe the effect of payment it is not only essential thnt it must conform
with all the requisite.s of payment, but it is also essential that certain special requirements prescibed by law
must be complied with Which of the following is not Gorrect7
a. There must be a previous tender’ of payment
b. There is a debt due
c. The thing or amount due had been plftced at 4e disposal of judicial authoñty
d. The notice previous to and aiier the consignait›n had been given to tha pGrsons interested in the
fulfillment of the obligation
77. .% B and C borrowed Php l*p000 from D The.share off B and C is 1:2:3, respectively. The debt is evidenced
by a promissg-y note wherein tfie three bound thunsBves to pay the debt jointly and severally. However, the
note provide: A can be compell& to pay ifD will pass the May 2000 CPA Board Exam; B can be compelled
tO pay oa June 12, 2002 and C can be compe11& to pay on December 12, 2004, Today, D demanded payment
from B to pay 4e entire ind&tedneu but B péd only Php 4,000, Subsequently, becauseof B's refusal to pay
the bdance, D brought an action ag&nc him for cAlection of the amount. How much can D collect frofft B?
a. Php d,000 ifD passed the CPA Board Exam
b. Php 6,00d ifD did not pass the CPA Board Exam
c. Php 0 as the d&ton are liable only up to %e extent of%eir respective obligation
d. Php 0 as B cannot be compelled to pay &e share of A and C in the obligadon
78. When tbete is concurrence of two or more creditor or of two or more d&tors in one and &e same obligation,
4e obligation of the debiors and creditors is
a. Both joint and solidary
b. Either joint n solidary
c. Both are joint
d, Both are solidary
79. To connicte a caso fortuito that would exempt a person from responsibility, which of ie following is not
necmsary?
m It must be either unenforceable or uuax-oid&le
b. The occurrence must render it impossiblefor the debtor to fulfill ie obligadon in a normal mannw
c. The event must be independent o?the will of a person
d. Tfie debtor must be free of participation in, or aggravationo( the injury to the creditor
80. Whtn one by his act, representa8oq oral admiséon nr by his silence induces another to believe certain facts
to exio and acts on such belief, there is estopp¥
a In pais b. By deed c. By laches d. By trust
The End!