Bankruptcy Flashcards
- Filing a valid petition in bankruptcy acts as an automatic stay of actions to
Garnish the Debtor’s Wages Collect Alimony from the Debtor
a. Yes Yes
b. Yes No
c. No Yes
d. No No
b. Yes No
어떤 걸 내놔야하나
- Willa Wilk owes a total of $50,000 to eight unsecured creditors and one fully secured creditor. Rusk is one of the unsecured creditors and is owed $17,000. Rusk has filed a petition against Wilk under the liquidation provisions of the Bankruptcy Code. Wilk has been unable to pay her debts as they become due, and Wilk’s liabilities exceed her assets. Wilk has filed the papers that are required to oppose the bankruptcy petition. Which of the following statements is true?
a. The petition will be granted because Wilk is unable to pay her debts as they become due.
b. The petition will be granted because Wilk’s liabilities exceed her assets.
c. The petition will be dismissed because three unsecured creditors must join in the filing of the petition.
d. The petition will be dismissed because the secured creditor failed to join in the filing of the petition
a. The petition will be granted because Wilk is unable to pay her debts as they become due.
become due.
시기의 기준 돈 갚는 날까지
못 갚는 경우
8 unsecured creditors
(12명 이상, 미만)
1 fully secured creditor.
- Flax, a sole proprietor, has been petitioned involuntarily into bankruptcy under the Federal Bankruptcy Code’s liquidation provisions. Simon & Co., CPAs, has been appointed trustee of the bankruptcy estate. If Simon also wishes to act as the tax return preparer for the estate, which of the following statements is true?
a. Simon is prohibited from serving as both trustee and preparer. Serving in a dual capacity is a conflict of interest.
b. Although Simon may serve as both trustee and preparer, it is entitled to receive a fee only for the services rendered as a preparer.
c. Simon may employ itself to prepare tax returns if authorized by the court and may receive a separate fee for services in each capacity.
d. Although Simon may serve as both trustee and preparer, its fee for services in each capacity is determined solely by the size of the estate.
c. Simon may employ itself to prepare tax returns if authorized by the court and may receive a separate fee for services in each capacity.
Simon & Co., CPAs, has been appointed trustee
Trustee 겸직가능
- Which of the following statements is true concerning the voluntary filing of a petition in bankruptcy?
a. The debtor must be insolvent.
b. The petition may be filed by husband and wife jointly.
c. If the debtor has 12 or more creditors, the debtor’s unsecured claims must total at least
$15,775.
d. If the debtor has fewer than 12 creditors, the debtor’s unsecured claims must total at least
$15,775.
b. The petition may be filed by husband and wife jointly.
The debtor must be insolvent.
지급 불능까지 갈 필요없음
- Which of the following transfers by a debtor, within 90 days of filing for bankruptcy, could be set aside as a preferential payment?
a. Making a gift to charity.
b. Paying a business utility bill.
c. Borrowing money from a bank secured by giving a mortgage on business property.
d. Prepaying an installment loan on inventory.
d. Prepaying an installment loan on inventory.
철회 가능 특혜성 이전
preferential transfer
- Rolf Adenstedt, an individual, filed a voluntary petition in bankruptcy. A general discharge in bankruptcy will be denied if Rolf
a. Negligently made preferential transfers to certain creditors within 90 days of filing the petition.
b. Unjustifiably failed to preserve his books and records.
c. Filed a fraudulent federal income tax return 2 years prior to filing the petition.
d. Obtained a loan by using financial statements that he knew were false.
b. Unjustifiably failed to preserve his books and records.
거절 되는 경우
a. 과실 괜찮음
b. Unjustifiably 장부 엉터리
Items 7 through 9 are based on following:
On May 1, Dart, Inc., a closely held corporation, was petitioned involuntarily into bankruptcy under the liquidation provisions of Chapter 7 of the Federal Bankruptcy Code. Dart contested the petition.
Dart has not been paying its business debts as they become due, has defaulted on its mortgage loan payments, and owes back taxes to the IRS. The total cash value of Dart’s bankruptcy estate after the sale of all assets and payment of administration expenses is $100,000.
A listing of Dart’s creditors is presented in the next column.
- Fracon Bank is owed $75,000 principal and accrued interest on a mortgage loan secured by Dart’s real property. The property was valued at and sold, in bankruptcy, for $71,000.
- The IRS has a $12,000 recorded judgment for unpaid corporate income tax.
- JOG Office Supplies has an unsecured claim of $3,000 that was timely filed.
- Nanstar Electric Co. has an unsecured claim of $1,200 that was not timely filed.
- Decoy Publications has a claim of $15,000, of which $2,000 is secured by Dart’s inventory that was valued and sold, in bankruptcy, for $2,000. The claim was timely filed.
- Assuming the bankruptcy estate has been distributed, what dollar amount did Nanstar Electric Co. receive?
a. $0
b. $800 c. $1,000 d. $1,200
a. $0
71,000 담보
IRS 12,000
JOG 3,000 무담보
Nansta 1,200
Decoy 2,000
1) Secured Creditor’s
71,000 담보
Decoy 2,000
2) 파산법상 우선순위인
Unsecured Creditor’s
IRS 12,000
3) Unsecured Creditors
JOG 3,000 무담보
Nansta 1,200
Decoy 13,000
Fracon 4,000
Nanstar
not timely filed
못 받아 간다
On May 1, Dart, Inc., a closely held corporation, was petitioned involuntarily into bankruptcy under the liquidation provisions of Chapter 7 of the Federal Bankruptcy Code. Dart contested the petition.
Dart has not been paying its business debts as they become due, has defaulted on its mortgage loan payments, and owes back taxes to the IRS. The total cash value of Dart’s bankruptcy estate after the sale of all assets and payment of administration expenses is $100,000.
A listing of Dart’s creditors is presented in the next column.
- Fracon Bank is owed $75,000 principal and accrued interest on a mortgage loan secured by Dart’s real property. The property was valued at and sold, in bankruptcy, for $71,000.
- The IRS has a $12,000 recorded judgment for unpaid corporate income tax.
- JOG Office Supplies has an unsecured claim of $3,000 that was timely filed.
- Nanstar Electric Co. has an unsecured claim of $1,200 that was not timely filed.
- Decoy Publications has a claim of $15,000, of which $2,000 is secured by Dart’s inventory that was valued and sold, in bankruptcy, for $2,000. The claim was timely filed.
- Assuming the bankruptcy estate has been distributed, what total dollar amount did Fracon Bank receive on its secured and unsecured claims?
a. $70,000 b. $72,000 c. $74,000 d. $75,000
c. $74,000
100,000-71,000-12,000-2000
4,000
——————————-*15,000
3,000+13,000+4,000
=3,000
71,000+3,000
=74,000
On May 1, Dart, Inc., a closely held corporation, was petitioned involuntarily into bankruptcy under the liquidation provisions of Chapter 7 of the Federal Bankruptcy Code. Dart contested the petition.
Dart has not been paying its business debts as they become due, has defaulted on its mortgage loan payments, and owes back taxes to the IRS. The total cash value of Dart’s bankruptcy estate after the sale of all assets and payment of administration expenses is $100,000.
A listing of Dart’s creditors is presented in the next column.
- Fracon Bank is owed $75,000 principal and accrued interest on a mortgage loan secured by Dart’s real property. The property was valued at and sold, in bankruptcy, for $71,000.
- The IRS has a $12,000 recorded judgment for unpaid corporate income tax.
- JOG Office Supplies has an unsecured claim of $3,000 that was timely filed.
- Nanstar Electric Co. has an unsecured claim of $1,200 that was not timely filed.
- Decoy Publications has a claim of $15,000, of which $2,000 is secured by Dart’s inventory that was valued and sold, in bankruptcy, for $2,000. The claim was timely filed.
- Assuming the bankruptcy estate has been distributed, what dollar amount did the IRS receive?
a. $0
b. $8,000 c. $10,000 d. $12,000
d. $12,000
- On October 31, Year 1, Green rented equipment under a 5-year lease. On March 8, Year 2, Green was involuntarily petitioned into bankruptcy under the liquidation provisions of the Bankruptcy Code, and a trustee was appointed. The fair market value of the equipment exceeds the balance of the lease payments due. The trustee
a. Must assume the equipment lease because its term exceeds 1 year.
b. Must assume and subsequently assign the equipment lease.
c. May elect not to assume the equipment lease.
d. May not reject the equipment lease because the fair market value of the equipment exceeds the balance of the payments due.
c. May elect not to assume the equipment lease.
Trustee 계약 없앨 수 있음
- Molly Finn filed a voluntary petition in bankruptcy. She provided a list of creditors and debts to the courts as required. However, Ann Sawyer was unintentionally left out of the list of creditors and debts. The creditors held their first meeting on March 5. It is now May 31 and Sawyer has just learned of the bankruptcy of Finn. Will she be able to share in the distribution from the estate?
a. It is too late to file a claim in bankruptcy.
b. Sawyer is not entitled to share in the estate assets because (s)he was not listed by Finn.
c. Sawyer’s claim will be given priority due to the mistake.
d. Sawyer can file a proof of claim, but it must be allowed by the court.
unintentionally left out of the list of creditors and debts
- (d) To share in the distribution of the bankrupt’s estate, a creditor must file a proof of claim with the court
within 90 days after the first creditors’ meeting.
The proof of claim is simply a statement signed by the creditor explaining the nature and source of the claim and the date it is due. All claims not objected to are deemed allowed.
If objected to, a claim may be allowed after a hearing to determine its validity.
