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Jim Salazar Is the Majority Shareholder of XYZ Co

Question 9

Multiple Choice

Jim Salazar is the majority shareholder of XYZ Co. XYZ Co. filed for Chapter 11 bankruptcy on January 1, 20X8. Which of the following may be considered a fraudulent transfer?


A) Transfer of land to Jim's sister Alice on July 1, 20X6.
B) Sale of inventory at regular price to a new customer on February 15, 20X8.
C) Transfer of fixed assets to Jim's brother John on December 15, 20X7.
D) Transfer of inventory to a subsidiary for less than fair value on August 1, 20X6.
E) Both a and c are correct.

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