The option of keeping a financially distressed firm as an operating concern is called a(n):
A) Liquidation.
B) Reorganization.
C) Acquisition.
D) Merger.
E) Technical solvency.

Question

Quizplus · Accepted Answer

Reorganization is the process where a financially distressed firm is restructured to keep it operating, often involving changes in its financial structure, operations, or strategy to improve its viability.

The Option of Keeping a Financially Distressed Firm as an Operating