Which of the Following Is Not a Preferential Transfer

question 43

Multiple Choice

Which of the following is not a preferential transfer?

• A) a transaction for present consideration
• B) a payment in the ordinary course of business
• C) a. and b.
• D) Both a. and b. likely constitute preferential transfers

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Definitions:

Financing Source

Any mechanism or method through which an entity obtains funds to finance its operations, projects, or investments.

Banks

Banks are financial institutions licensed to receive deposits, offer loans, and provide various financial services, including currency exchange, wealth management, and safe deposit boxes.

Date of Transition

The point in time at which an entity or organization begins the process of changing from one state, condition, or system to another.

IFRS 1

The International Financial Reporting Standard that provides guidelines for the first time adoption of International Financial Reporting Standards.