Which of the Following Statements Is True About Chapter 7

question 8

Multiple Choice

Which of the following statements is true about Chapter 7 of the Bankruptcy Code?

• A) Only voluntary petitions are allowed.
• B) A debtor with at least 12 creditors may be subject to involuntary proceedings if 3 or more of those creditors hold noncontingent, unsecured claims of $12,000 or more.
• C) A debtor with fewer than 12 creditors may be subject to involuntary proceedings if 1 or more of those creditors holds noncontingent, unsecured claims of $10,000 or more.
• D) The requirements for involuntary proceedings are identical to those for Chapter 13.

---

Definitions:

Technological Advances

Innovations and improvements in technology that enable new products, improved processes, and greater efficiency across various industries and sectors.

Savings Rate

The percentage of money that individuals or entities save from their disposable income, often considered an indicator of economic health.

Consumer Expenditures

The total amount spent by consumers on goods and services within a given period.

U.S. Consumers

Individuals or households in the United States that purchase goods and services for personal use.