Which of the following statements is true?
A) Creditors can force a firm into bankruptcy if a firm is found in violation of any of its covenants.
B) Creditor expropriation is more common in Germany than in the U.S.
C) Management tries to avoid filing for bankruptcy protection mainly because it is not in the best interest of its shareholders.
D) Creditors can force a firm into bankruptcy only if a firm misses payments on its debt obligations.
Correct Answer:
Verified
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