Question

in the event a creditor receives funds or assets in the 90-day period prior to the filing of a bankruptcy petition by the company, the court has the power to require the return of such funds or assets. this is known as a(n)

Answer 1

In the event a creditor receives funds or assets in the 90-day period prior to the filing of a bankruptcy petition by the company, the court has the power to require the return of such funds or assets. this is known as a Clawsback .

A clawback is a contractual provision that requires an employee to return money already paid by an employer, sometimes with a penalty. Clawbacks act as insurance policies in the event of fraud or misconduct, a drop in company profits, or for poor employee performance.

What does clawback mean in accounting?

Clawback is a provision under which money that's already been paid out must be returned to the employer or the firm. This is a special contractual clause, used mostly in financial firms, for money paid for services to be returned under special circumstances or events as stated in the contract

To learn more about Clawback , refer

brainly.com/question/12717673

#SPJ4