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In a Chapter 7 Bankruptcy

Question 53

Multiple Choice

In a Chapter 7 bankruptcy:


A) a small firm gets a second chance by being protected from creditors while a reorganization plan is formulated.
B) every piece of property the bankrupt debtor owns is subject to court attachment.
C) loss is limited to $100,000 in unsecured debt and to $350,000 in secured debt.
D) a debtor simply declares all of his firm's debts,and turns all assets over to a trustee who then sells and distributes them to settle both secured and unsecured debts.

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