The Priority of Claims Established by Chapter Seven of the Bankruptcy

question 152

Multiple Choice

The priority of claims established by Chapter Seven of the Bankruptcy Reform Act of 1978 gives priority to claims of

• A) unsecured creditors over claims of secured creditors.
• B) preferred stockholders over claims of unsecured creditors.
• C) wages payable over claims of unsecured creditors.
• D) farmers in grain storage over expenses of administering the bankruptcy.

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Definitions:

Dispute

A disagreement, argument, or debate, often between people or groups with opposing viewpoints.

Participant

A person who takes part in something, such as an experiment or study.

Neighbor

Someone living in close proximity to another or a member of the same community or area.

Temporal Discounting

In decision making, the greater weight given to the present over the future.