Which of the Following Is an Example of a Preferential

question 4

Multiple Choice

Which of the following is an example of a preferential unsecured creditor?

• A) Trade creditors.
• B) Liquidator's fee.
• C) Arrears of preference dividends.
• D) Audit fees payable for normal year-end audit prior to insolvency.

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Definitions:

Special Relationships

Connections or interactions between individuals or entities that are characterized by unique, privileged, or otherwise distinct from regular relations.

Team Members

Individuals who are part of a group working together towards a common purpose or project.

In-Group

A social group to which a person psychologically identifies as being a member, often in contrast to the "out-group."

More Favourable

Relates to conditions or outcomes that are better or more beneficial than others.