Mike's Business Is Not Doing Too Well and He Is

question 13

Multiple Choice

Mike's business is not doing too well and he is contemplating bankruptcy unless things change soon.As he currently deals with his creditors,the guiding principle should be that

• A)creditors of the same class should be treated equally.
• B)preferences should not include family or friends.
• C)all transactions within three months preceding bankruptcy are indefensible.
• D)transfers of property such as the sale of inventory will be invalidated.
• E)bankruptcy is an avenue of last resort and should be avoided at all cost.

---

Definitions:

Sea Level

The average level of the surface of the ocean at any given place, used as a standard in calculating land elevation and water depth.

Hydraulic Pressure

The pressure exerted by a fluid in a hydraulic system, used to generate force and motion in hydraulic machinery and tools.

Steering Systems

Mechanisms in vehicles that allow the driver to guide and direct the direction of the vehicle.

Automatic Transmissions

A type of vehicle transmission that automatically changes gear ratios as the vehicle moves, without the driver having to manually select gears.