If a business that sells gidgits files for bankruptcy to liquidate all of its assets in order to repay its creditors, it is goin

Question

otez555 [7]

3 years ago

8

If a business that sells gidgits files for bankruptcy to liquidate all of its assets in order to repay its creditors, it is goin

g to file a Chapter 11 reorganization.
True
False

Law

2 answers:

andre [41] · Answer 1 · 2022-10-06T13:15:32+03:00

andre [41]3 years ago

6 0

Answer:true

Explanation:

neonofarm [45] · Answer 2 · 2022-10-06T14:44:58+03:00

Answer:

False, I'm pretty sure.

Explanation:

A Chapter 11 bankruptcy doesn't involve the business liquidating all of its assets; the business continues to operate and the debts are just reorganized. If they want to liquidate all of their assets, they should file a Chapter 7 bankruptcy, which is a lot less expensive anyway.