A company's liquidation can be:

Question

Quizplus · Accepted Answer

All three options are common methods of liquidating a company.

A members' voluntary liquidation occurs when shareholders vote to wind up the company due to reasons such as retirement or the completion of a project.

A court-ordered liquidation occurs when a company is unable to pay its debts and creditors apply to the court for the company to be wound up.

A creditors' voluntary liquidation occurs when a company's creditors vote to wind up the company in order to recover their debts.

A Company's Liquidation Can Be