A straight bankruptcy:
A)eliminates all the obligations of a debtor.
B)results in the loss of all the assets of a debtor.
C)results in the repayment of debt within 3 to 5 years.
D)exempts a debtor from all the tax payments and payments for alimony and child support.
E)allows a debtor to retain some other personal assets as per federal regulations.

Question

Quizplus · Accepted Answer

Straight bankruptcy, typically associated with Chapter 7 bankruptcy in the United States, allows a debtor to retain certain exempt assets according to federal or state laws, while the remaining non-exempt assets are liquidated to pay off creditors.

A Straight Bankruptcy