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      Question

      According to the provisions of the Contract Act, what

      happens when a proposal is accepted?
      A The proposal becomes a contract Correct Answer Incorrect Answer
      B The proposal becomes a promise Correct Answer Incorrect Answer
      C The proposal is considered rejected Correct Answer Incorrect Answer
      D The proposal is put into action immediately Correct Answer Incorrect Answer
      E Both a & d Correct Answer Incorrect Answer

      Solution

      Section 2. Interpretation-clause: (b) When the person to whom the proposal is made signifies his assent thereto, the proposal is said to be accepted. A proposal, when accepted, becomes a promise.

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