Once a voluntary liquidation proceeding under Chapter 7 is filed, the debtor's prepetition assets form the ________.
A) Corpus
B) Remainder
C) Residual estate
D) Bankruptcy estate
E) Relinquished asset pool

Question

Quizplus · Accepted Answer

When a voluntary liquidation proceeding under Chapter 7 is filed, the debtor's prepetition assets form the bankruptcy estate. This estate is then used to pay off creditors under the supervision of a court-appointed trustee.

Once a Voluntary Liquidation Proceeding Under Chapter 7 Is Filed