Successful Private Workouts Are Better for Firms Than Formal Bankruptcy

Successful private workouts are better for firms than formal bankruptcy because:

A) direct costs are considerably lower in private workouts.
B) private workout firms can issue new debt senior to all prior debt.
C) stock price increases are greater for private workouts than for firms emerging from formal bankruptcy.
D) Both direct costs are considerably lower in private workouts; and private workout firms can issue new debt senior to all prior debt.
E) Both direct costs are considerably lower in private workouts; and stock price increases are greater for private workouts than for firms emerging from formal bankruptcy.