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kiruha [24]
4 years ago
10

On February 28, 1991, Master Inc. had total assets with a fair market value of $1,200,000 and total liabilities of $900,000. On

January 15, 1991 Master made a monthly installment note payment to Acme Distributors, a creditor holding a properly perfected security interest in equipment having a fair market value greater than the balance due on the note. On March 15,19991, Master voluntarily filed a petition in bankruptcy under the liquidation provisions of Chapter 7 of the federal Bankruptcy Code. One year later, the equipment was sold for less than the balance due on the note to Acme.
If a creditor challenged Master's right to file, the petition would be dismissed:

a. If Master had less than 12 creditors at the time of filing.
b. Unless Master can show that a reorganization under Chapter 11 of the federal Bankruptcy Code would have been unsuccessful.
c. Unless Master can show that it is unable to pay its debts in the ordinary course of business or as they come due.
d. If Master is an insurance company.
Business
1 answer:
Katen [24]4 years ago
8 0

Answer:

d. If Master is an insurance company

Explanation:

According to the given question, on January 15, 1991, Master made a monthly installment note payment to Acme Distributors, a creditor. Master Inc. had total assets with a fair market value of $1,200,000 and total liabilities of $900,000 on February 28, 1991. However, Master voluntarily filed a petition in bankruptcy on March 15, 1991. If the equipment was sold for less than the balance due on the note to Acme and a creditor challenged Master's right to file, the petition would be dismissed if Master is an insurance company.

Insurance is an entity that protects from financial loss. It is a form of risk management.

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As in an offer of exchange process, both the parties on different ends receive something.

4 0
4 years ago
If teamwork and support are high on your priority list, a _______ may be a poor choice for a business
Elan Coil [88]

If teamwork and support are high on your priority list, a closed corporation may be a poor choice for a business.

A closed corporation is generally a smaller corporation, it means that it is held by a limited number of shareholders and is not publicly traded. There are many different types of corporations.

8 0
3 years ago
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Government payments to suppliers are called excise taxes. <br> True<br> or <br> False
Anna71 [15]
The answer to your question is TRUE
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3 years ago
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Mayree is the owner of Spines Books, a small eclectic-style bookstore in a bustling college town. Mayree prides herself in selec
Mila [183]

Answer:

Inventory turnover

Explanation:

From the question we are informed Mayree who is the owner of Spines Books, a small eclectic-style bookstore in a bustling college town. Mayree prides herself in selecting hard-to-find books and magazines that her clientele enjoy. Recently, Mayree is experiencing a cash flow shortage, and she is concerned that she may be purchasing too many copies of each title. Having recently completed a business class, I can suggest to Mayree that she calculate the Inventory turnover ratio for her store, and then compare it to other stores in her industry. Inventory turnover can be regarded as rate at which particular company make sales of it's stock of goods and make replacement of its stock of goods during a particular period.

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Mathematically,

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3 years ago
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If the balance of an asset will increase, cash float from operations will be lower. If the stability of an asset decreases, cash flow from operations will boom. If the balance of liability will increase, cash flows with the flow from operations will grow. If the balance of a liability decreases, cash flows with the flow from operations will decrease.

An accounting period, in bookkeeping, is the length with reference to which control accounts and economic statements are organized. In management accounting, the accounting length varies extensively and is decided with the aid of management. monthly accounting durations are common.

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