Trustees in Bankruptcy Have Extensive Powers, but They Cannot Request

question 39

Multiple Choice

Trustees in bankruptcy have extensive powers, but they cannot request the official receiver to:

• A)Personally release the bankrupt from particular debts where not to do so would be harsh and oppressive to the bankrupt.
• B)Summons a person to produce documents relating to the bankrupts affairs.
• C)Summons a person to give evidence relating to the bankrupt.
• D)Issue a search warrant providing access to premises and books relevant to the bankruptcy.

---

Definitions:

Primary Reserves

Assets that are held by banks that are readily available to meet immediate withdrawal demands, such as cash and deposits with central banks.

Excess Reserves

Funds that banks hold over and above the required minimum reserves specified by central banking authorities, which can be loaned out or invested.

Reserve Requirements

The minimum amount of reserves that banks must hold against deposits, set by central banks to ensure liquidity and control the money supply.

Discount Rate

The discount rate is the interest rate charged to commercial banks and other financial institutions for loans received from the Federal Reserve's discount window.