If the Debtor Is Generally Not Paying Debts as They

question 19

True/False

If the debtor is generally not paying debts as they become due, the debtor may be subject to an involuntary bankruptcy petition.

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Definitions:

Entitlement

A right granted by law or contract, especially to financial benefits from the government.

Bonus

An incentive payment that is supplemental to the base wage.

Base Wages

The initial or fundamental salary paid to an employee before any bonuses, benefits, or overtime are accounted for.

Lump-sum Merit Pay

A one-time payment given to an employee as a reward for performance, rather than a continuous salary increase.