The Net Payoff to Creditors in Formal Bankruptcy May Be

The net payoff to creditors in formal bankruptcy may be low in present value terms because:

A) the financial structure may be complicated with several groups and types of creditors.
B) indirect costs of bankruptcy may have been costly in lost revenues and poor maintenance.
C) administrative costs are high and increase with the complexity and length of time in the formal bankruptcy process.
D) All of the above.
E) None of the above.