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Describe the three separate ways that entrepreneurs identify new business, product, and service opportunities.
Liabilities With Priority
Obligations that are given preference over other liabilities in the case of liquidation or bankruptcy, often secured or legally mandated.
Liquidation
The process of closing down a business by selling its assets to pay off its debts, with any leftovers being distributed to shareholders.
Reorganization
The act of restructuring a company's business or legal structure, often for reasons related to improving the company's operations, efficiency, or to adjust to financial instability.
Statement of Financial Affairs
A detailed report showing a company's assets, liabilities, and net worth, often used in bankruptcy proceedings.
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