General Financial Rules 2017 - Chapter 8: Contract Management

  1. All contracts shall be made by an authority empowered to do so by or under the orders of the President in terms of
    1. Article 299 (1)
    2. Article 299 (2)
    3. Article 301 (1)
    4. Article 301 (2)
  2. The various classes of contracts and assurances of property, which may be executed by different authorities, are specified in the Notifications issued from time to time by the
    1. Ministry of Finance
    2. Ministry of Law
    3. Ministry of Trade & Commerce
    4. Ministry of Industries
  3. The powers of various authorities, the conditions under which such powers should be exercised and the general procedure prescribed with regard to various classes of contracts and assurances of property are laid down in
    1. Rule 107 of GFR 2017
    2. Rule 79 of R&P 1983
    3. Rule 52 of GAR 1990
    4. Rule 21 of the Delegation of Financial Powers Rules.
  4. State whether true or false The modifications in standard forms of contracts should be carried out only after obtaining legal advice.
    1. True
    2. False
  5. A Ministry or Department may, at its discretion, make purchases by issuing purchase orders containing basic terms and conditions of value up to
    1. Rs. 200000/-
    2. Rs. 250000/-
    3. Rs. 300000/-
    4. Rs. 500000/-
  6. Tender documents include the General Conditions of Contract (GCC), Special Conditions of Contract (SCC) and scope of work, the letter of acceptance will result in a binding contract in respect of Works Contracts, or Contracts for purchases valued between
    1. Rs. 100000-500000
    2. Rs. 200000-1000000
    3. Rs. 100000-1000000
    4. Rs. 200000-1000000
  7. A Contract document should be executed, with all necessary clauses to make it a self-contained Contract in respect of contracts for works with estimated value and purchase of
    1. Rs. 1000000 or above
    2. Rs. 1500000 or above
    3. Rs. 2000000 or above
    4. Rs. 5000000 or above
  8. Contract document should be invariably executed in cases of following except
    1. turnkey works
    2. maintenance of equipment
    3. provision of services
    4. purchase of IT products
  9. Contract document, where necessary, should be executed
    1. within 21 days of the issue of letter of acceptance
    2. within 21 days of the opening of bid
    3. within 30 days of the issue of letter of acceptance
    4. within 30 days of the opening of bid
  10. State whether true or false Non-executing a contract by the Contractor or Supplier within the prescribed period would not constitute sufficient ground for annulment of the award and forfeiture of Earnest Money Deposit.
    1. True
    2. False
  11. Contract in which the price payable for supplies or services under the contract is determined on the basis of actual cost of production of the supplies or services concerned plus profit either at a fixed rate per unit or at a fixed percentage on the actual cost of production is called
    1. Fixed Rate Contract
    2. Finished Rate Contract
    3. Cost Plus Contract
    4. Negotiated Contract
  12. Price Variation Clause can be provided only in long-term contracts, where the delivery period extends
    1. up-to 18 months
    2. up-to 36 months
    3. beyond 36 months
    4. beyond 18 months
  13. The variations under Price Variation Clause are calculated by using indices published by Governments or
    1. Chambers of Commerce
    2. Chambers of Trade
    3. Chambers of Industries
    4. All of the threes
  14. No price adjustment under Price Variation Clause will be made in favour of the supplier where resultant increase is lower than
    1. 1%
    2. 2%
    3. 5%
    4. 10%.
  15. No price variation will be admissible beyond the original Scheduled Delivery Date for defaults on the part of the supplier. However, it may be allowed beyond the original Scheduled Delivery Date, by specific alteration of that date through an amendment to the contract in cases of Force Majeure or defaults by Government.
    1. True
    2. False
  16. Copies of all contracts and agreements for purchases, and of all rate and running contracts entered into by civil departments of the Government other than the departments like the DGS&D should be sent to the Audit Officer and /or the Accounts officer as the case may be when value of the contracts/agreements are of
    1. Rs. 10 lakh and above
    2. Rs. 15 lakh and above
    3. Rs. 20 lakh and above
    4. Rs. 25 lakh and above
  17. Provision for recovery of liquidated damages applies when
    1. Item/service received less than supply/work order
    2. Description of items are different than what required in supply order
    3. Items/services delivered beyond scheduled delivery date
    4. Items/service supplied or rendered are in damaged/inappropriate condition.
  18. No claim for the payment from contractor shall be entertained after the lapse of
    1. 3 years of arising of the claim.
    2. 5 years of arising of the claim
    3. 7 years of arising of the claim
    4. 10 years of arising of the claim
  19. Monthly review should be made of all bank guarantees or other instruments expiring
    1. within 6 months
    2. after 6 months
    3. within 3 months
    4. after 3 months


  1. Your good knowledge and kindness in playing with all the pieces were very useful. I don’t know what I would have done if I had not encountered such a step like this.list of audit firms in dubai

  2. This comment has been removed by a blog administrator.

  3. Thanks a ton for this. It was really very helpful in revising the said chapter. Thanks again.

  4. It really helps to understand GFR 2017.
    Thanks a lot making such a wonderful questionaire

  5. Thanks for a great tips, This would be a different idea from the routine tips. We specialise in finance, VAT Registartion tax, IT, marketing & . As an ISO 9001 certified company with over 30 years international experience in accounting, VAT and technology, we have the unique capabilities to ensure you are fully compliant to the UAE legislation. See our range of articles, white papers and learning resources and self-study material to learn accounting, VAT and taxation at your own pace

  6. Well Said, you have furnished the right information that will be useful to anyone at all time. Thanks for sharing your Ideas.
    Purchase Order

  7. IEEE Final Year Project centers make amazing deep learning final year projects ideas for final year students Final Year Projects for CSE to training and develop their deep learning experience and talents.

    IEEE Final Year projects Project Centers in India are consistently sought after. Final Year Students Projects take a shot at them to improve their aptitudes, while specialists like the enjoyment in interfering with innovation.

    corporate training in chennai corporate training in chennai

    corporate training companies in india corporate training companies in india

    corporate training companies in chennai corporate training companies in chennai

    I have read your blog its very attractive and impressive. I like it your blog. Digital Marketing Company in Chennai Project Centers in Chennai

  8. Nice content, It is definitely very helpful for my professional workers. I having many kinds of knowledge from your blog..
    If you require tax return services bangalore
    and list of audit firms bangalore
    plz click on it .

  9. Excellent read, Positive site, I have read a few of the articles on your website now, and I really like your style. I really appreciate your work.If you require aboutTax Return Filing in bangalore | ConsultantsGST Return Filing Services in bangalore please click on it.

  10. This comment has been removed by the author.

  11. Invest in milestone view I think this is an informative post and it is very useful and knowledgeable. therefore, I would like to thank you for the efforts you have made in writing this article.

  12. I appreciate your efforts which you have put into this article. This post provides a good idea. Genuinely, it is a useful article to increase our knowledge. Thanks for sharing such articles here. Fiduciary Financial Advisor Dtc


Post a Comment