Fact Pattern 15-1A Damian Owns a Pick-Up Truck and a Motorcycle.He Sells the Motorcycle.He

question 29

Multiple Choice

Fact Pattern 15-1A
Damian owns a pick-up truck and a motorcycle.He sells the motorcycle to Eden for $10,000.Eden pays for the cycle with a check,knowing that she had insufficient funds in her account to cover the amount.A week later,Damian files a petition in bankruptcy for relief through a liquidation.
-Refer to Fact Pattern 15-1.Regarding the sale of the cycle,the bankruptcy trustee can

• A)cancel it as a fraudulent transfer.
• B)cancel it as a voidable preference.
• C)not cancel it or sue to recover the price because it occurred before Damian filed his petition in bankruptcy.
• D)not cancel it,but can sue Eden to recover the price.

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Definitions:

Limited Problem Solving

A decision-making process involving relatively straightforward and simple considerations, often used for routine or familiar purchases.

Decision-Making Continuum

This concept describes the range of processes from simple to complex that consumers go through when deciding which products or services to purchase.

Limited Problem Solving

A decision-making process used for purchases that require a moderate amount of deliberation and are typically familiar to the consumer.

Habitual Decision

The process of making choices automatically based on past behaviors and routines without considerable thought.