An Automatic Stay

question 43

Multiple Choice

An automatic stay:

• A) arises only upon the filing of a voluntary petition.
• B) prevents any further interest from accruing on a debtor's outstanding debts.
• C) prevents creditors from taking action outside of the bankruptcy proceeding against a debtor.
• D) ends if a debtor attempts to incur additional debt after a petition has been filed.

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Definitions:

Outside Employment

A situation in which an individual holds a job external to their primary place of employment, often to supplement income or gain additional experience.

Financial Capital Market

The complex set of institutions in which suppliers of capital (households that save) and the demand for capital (firms wanting to invest) interact.

Institutions

Structures and mechanisms of social order governing the behavior of a set of individuals within a given community, such as legal codes, money, and schools.

Economists

Professionals who study, develop, and apply theories and concepts from economics to analyze how societies utilize scarce resources to produce valuable commodities and distribute them among different people.