Question 1

A customer's credit report does not:

Accepted Answer

A) Include personal references as to the customer's business reputation. 
B) Provide details of credit applications made in the past. 
C) List credit defaults. 
D) List information that is already publicly available 
E) g.bankruptcy reports. 
A) Include personal references as to the customer's business reputation. 
B) Provide details of credit applications made in the past. 
C) List credit defaults. 
D) List information that is already publicly available 
E) g.bankruptcy reports.

Question 2

Which of the following terms is not a name given to of one of the parties to a bill of exchange?

Accepted Answer

A) Drawer. 
B) Drafter. 
C) Drawee. 
D) Payee. 
A) Drawer. 
B) Drafter. 
C) Drawee. 
D) Payee.

Question 3

Which of the following is not a legal consequence of registering a charge?

Accepted Answer

A) The charge is enforceable against a liquidator. 
B) The lender has priority over the holders of unregistered charges. 
C) The lender has priority over all other lenders. 
D) The charge is enforceable against third parties. 
A) The charge is enforceable against a liquidator. 
B) The lender has priority over the holders of unregistered charges. 
C) The lender has priority over all other lenders. 
D) The charge is enforceable against third parties.

Question 4

Which of the following transactions need not be reported to AUSTRAC by a cash dealer?

Accepted Answer

A) A $15,000 cash deposit by a customer. 
B) A request by a customer to transfer $2,000 from their account to an account in Hong Kong. 
C) A $5,000 cash deposit by a customer followed immediately by a second deposit in the amount of $6,000. 
D) A payment in cash of $8,000 by a customer. 
A) A $15,000 cash deposit by a customer. 
B) A request by a customer to transfer $2,000 from their account to an account in Hong Kong. 
C) A $5,000 cash deposit by a customer followed immediately by a second deposit in the amount of $6,000. 
D) A payment in cash of $8,000 by a customer.

Question 5

A 'creditor' is:

Accepted Answer

A) A banking institution. 
B) A lending institution. 
C) Any person to whom money is owed. 
D) An institution that advances credit. 
A) A banking institution. 
B) A lending institution. 
C) Any person to whom money is owed. 
D) An institution that advances credit.

Question 6

What is the effect of marking a cheque 'not negotiable'?

Accepted Answer

A) The payment figure on the cheque cannot be altered. 
B) The cheque must be paid into a bank account 
C) A transferee cannot obtain better title than the transferor. 
D) The cheque becomes non-transferable. 
A) The payment figure on the cheque cannot be altered. 
B) The cheque must be paid into a bank account 
C) A transferee cannot obtain better title than the transferor. 
D) The cheque becomes non-transferable.

Question 7

The National Credit Code seeks to protect debtors by creating uniform requirements regarding:

Accepted Answer

A) Consumer rights and bankruptcy. 
B) The recovery of debts in the courts. 
C) The ADR processes applicable to debt recovery matters. 
D) Credit arrangements and recovery of outstanding debts. 
A) Consumer rights and bankruptcy. 
B) The recovery of debts in the courts. 
C) The ADR processes applicable to debt recovery matters. 
D) Credit arrangements and recovery of outstanding debts.

Question 8

What is the difference between a bill of exchange and a cheque?

Accepted Answer

A) A cheque is a bill of exchange in which the drawee is a financial institution. 
B) A bill of exchange is a form of cheque in which the drawee is a financial institution. 
C) A bill of exchange is negotiable whereas a cheque is not. 
D) A cheque is negotiable whereas a bill of exchange is not. 
A) A cheque is a bill of exchange in which the drawee is a financial institution. 
B) A bill of exchange is a form of cheque in which the drawee is a financial institution. 
C) A bill of exchange is negotiable whereas a cheque is not. 
D) A cheque is negotiable whereas a bill of exchange is not.

Question 9

Which of the following matters need not be included in a letter of demand?

Accepted Answer

A) Details of the outcome that will follow from judgement in favour of the creditor. 
B) Details of the outstanding debt. 
C) A fixed date by which payment must be made. 
D) A statement demanding payment. 
A) Details of the outcome that will follow from judgement in favour of the creditor. 
B) Details of the outstanding debt. 
C) A fixed date by which payment must be made. 
D) A statement demanding payment.

Question 10

A cheque made payable to a particular person is called:

Accepted Answer

A) A bearer cheque. 
B) An order cheque. 
C) An endorsed cheque. 
D) A crossed cheque. 
A) A bearer cheque. 
B) An order cheque. 
C) An endorsed cheque. 
D) A crossed cheque.

Question 11

Which of the following obligations is not one that a credit provider must generally comply with if it wishes to enforce a credit contract?

Accepted Answer

A) To serve a default notice on the debtor. 
B) To obtain a court order before repossessing mortgaged goods. 
C) To serve appropriate notices after taking possession of goods or selling them. 
D) To offer to vary the interest rate and charges to make them more manageable for the debtor. 
A) To serve a default notice on the debtor. 
B) To obtain a court order before repossessing mortgaged goods. 
C) To serve appropriate notices after taking possession of goods or selling them. 
D) To offer to vary the interest rate and charges to make them more manageable for the debtor.

Question 12

'Responsible lending' under the National Credit Code encompasses obligations on the part of the licensed credit provider not to provide credit that is:

Accepted Answer

A) High interest and short term. 
B) Unlikely to generate a good return for the lender. 
C) Unsuitable for the consumer. 
D) In fact low-doc or payday lending. 
A) High interest and short term. 
B) Unlikely to generate a good return for the lender. 
C) Unsuitable for the consumer. 
D) In fact low-doc or payday lending.

Question 13

The definition of a cheque under the Cheques Act 1986 (Cth) stipulates that a cheque is really a certain kind of order.The definition does not include a requirement that such an order:

Accepted Answer

A) Is conditional. 
B) Is addressed by a person to a financial institution. 
C) Is signed. 
D) That requires the financial institution to pay a sum on demand. 
A) Is conditional. 
B) Is addressed by a person to a financial institution. 
C) Is signed. 
D) That requires the financial institution to pay a sum on demand.

Question 14

To which of the following transactions does the EFT code not apply?

Accepted Answer

A) Cheque transactions. 
B) Internet and telephone banking transactions. 
C) Transactions involving the purchase of products using electronic transfer at the time of sale (EFTPOS). 
D) Withdrawals or deposits from an automatic teller machine (ATM). 
A) Cheque transactions. 
B) Internet and telephone banking transactions. 
C) Transactions involving the purchase of products using electronic transfer at the time of sale (EFTPOS). 
D) Withdrawals or deposits from an automatic teller machine (ATM).

Question 15

In relation to a mortgage of old system of land, the mortgagor's interest in the land is protected by:

Accepted Answer

A) The fact that they are the legal owner. 
B) A signed release document. 
C) A covenant in the deed of conveyance. 
D) A caveat on the register. 
A) The fact that they are the legal owner. 
B) A signed release document. 
C) A covenant in the deed of conveyance. 
D) A caveat on the register.

Question 16

Which of the following events will not have the effect of automatically discharging a guarantee?

Accepted Answer

A) Full payment of the debt. 
B) Modification of the loan contract by the creditor without the consent of the guarantor. 
C) Destruction of the security for the loan by the creditor. 
D) Alteration of the loan contract by the debtor without the consent of the creditor. 
A) Full payment of the debt. 
B) Modification of the loan contract by the creditor without the consent of the guarantor. 
C) Destruction of the security for the loan by the creditor. 
D) Alteration of the loan contract by the debtor without the consent of the creditor.

A customer's credit report does not:

Which of the following terms is not a name given to of one of the parties to a bill of exchange?

Which of the following is not a legal consequence of registering a charge?

Which of the following transactions need not be reported to AUSTRAC by a cash dealer?

A 'creditor' is:

What is the effect of marking a cheque 'not negotiable'?

The National Credit Code seeks to protect debtors by creating uniform requirements regarding:

What is the difference between a bill of exchange and a cheque?

Which of the following matters need not be included in a letter of demand?

A cheque made payable to a particular person is called:

Which of the following obligations is not one that a credit provider must generally comply with if it wishes to enforce a credit contract?

'Responsible lending' under the National Credit Code encompasses obligations on the part of the licensed credit provider not to provide credit that is:

The definition of a cheque under the Cheques Act 1986 (Cth) stipulates that a cheque is really a certain kind of order.The definition does not include a requirement that such an order:

To which of the following transactions does the EFT code not apply?

In relation to a mortgage of old system of land, the mortgagor's interest in the land is protected by:

Which of the following events will not have the effect of automatically discharging a guarantee?

Business and the Law

Law in Australia 1: the Australian Legal System

Law in Australia 2: Politicians and Judges

Legal Skills: How to Find, Understand and Use the Law

Tort Law 1: Deliberate Harm

Tort Law 2: Careless Harm

Contract Law 1: Formation of the Contract

Contract Law 2: Terms of the Contract

Contract Law 3: Enforcement of the Contract

Contract Law 4: Working With Agents

Consumer Protection and Privacy Law: Dealing With Customers

Competition Law: Dealing With Other Businesses

Intellectual Property Law: Protecting Your Creation

Managing a Business 1: Start-Up

Managing a Business 2: Business Ownership

Managing a Business 3: Finance

Managing a Business 5: Insurance and Taxes

Managing a Business 6: Employment

Managing a Business 7: Bankruptcy and Liquidation

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Exam 17: Managing a Business 4: Making Payments and Recovering Debts

A customer's credit report does not:

Which of the following terms is not a name given to of one of the parties to a bill of exchange?

Which of the following is not a legal consequence of registering a charge?

Which of the following transactions need not be reported to AUSTRAC by a cash dealer?

A 'creditor' is:

What is the effect of marking a cheque 'not negotiable'?

The National Credit Code seeks to protect debtors by creating uniform requirements regarding:

What is the difference between a bill of exchange and a cheque?

Which of the following matters need not be included in a letter of demand?

A cheque made payable to a particular person is called:

Which of the following obligations is not one that a credit provider must generally comply with if it wishes to enforce a credit contract?

'Responsible lending' under the National Credit Code encompasses obligations on the part of the licensed credit provider not to provide credit that is:

The definition of a cheque under the Cheques Act 1986 (Cth) stipulates that a cheque is really a certain kind of order.The definition does not include a requirement that such an order:

To which of the following transactions does the EFT code not apply?

In relation to a mortgage of old system of land, the mortgagor's interest in the land is protected by:

Which of the following events will not have the effect of automatically discharging a guarantee?

Business and the Law

Law in Australia 1: the Australian Legal System

Law in Australia 2: Politicians and Judges

Legal Skills: How to Find, Understand and Use the Law

Tort Law 1: Deliberate Harm

Tort Law 2: Careless Harm

Contract Law 1: Formation of the Contract

Contract Law 2: Terms of the Contract

Contract Law 3: Enforcement of the Contract

Contract Law 4: Working With Agents

Consumer Protection and Privacy Law: Dealing With Customers

Competition Law: Dealing With Other Businesses

Intellectual Property Law: Protecting Your Creation

Managing a Business 1: Start-Up

Managing a Business 2: Business Ownership

Managing a Business 3: Finance

Managing a Business 5: Insurance and Taxes

Managing a Business 6: Employment

Managing a Business 7: Bankruptcy and Liquidation

Filters