Examlex
Gains and losses that are neither unusual nor infrequent are reported as:
Priority Of Claims
Priority of claims refers to the hierarchical order in which creditors and shareholders are paid in the event of a company's liquidation, dictated by legal and contractual obligations.
Corporate Bankruptcy
Corporate bankruptcy is a legal process that allows financially troubled companies to restructure or eliminate their debts under the protection of the bankruptcy court.
Unsecured Creditors
Individuals or institutions that lend money without obtaining specific assets as collateral, ranking behind secured creditors in the event of bankruptcy.
Financial Leverage
Rephrased: Utilizing debt to finance additional assets, with the aim of increasing returns to equity holders, while also increasing financial risk.
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