The surplus that the creditors hope to capture by allowing the business to remain in operation so that they have a greater chance of full repayment is called:

Question

Quizplus · Accepted Answer

The going concern surplus is the surplus that creditors hope to capture by allowing the business to continue operating so that they have a better chance of being fully repaid. This surplus is often greater than the surplus that creditors would receive if the business were to be liquidated immediately. Therefore, the best choice is A) going concern surplus.

The Surplus That the Creditors Hope to Capture by Allowing