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What Is the Significance of a Court Deeming That a Payment

Question 30

Multiple Choice

What is the significance of a court deeming that a payment made by an insolvent debtor is a fraudulent preference and,as such,is void?


A) Assets will be returned to the estate by way of transaction reversal.
B) All payments for services given must be reversed and repaid.
C) All payments to trade creditors must be reversed and repaid.
D) Assets transferred to relatives prior to insolvency must be reversed.

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