Which Condition Must Be Met for Fresh-Start Reporting for an Emerging

question 10

Multiple Choice

Which condition must be met for fresh-start reporting for an emerging company from Chapter 11?

• A)Holders of existing voting shares immediately before confirmation of the reorganization plan must receive more than fifty percent of the emerging entity.
• B)The loss of control by voting shareholders must be temporary.
• C)The reorganization value of the emerging entity's assets immediately before the date of the confirmation of the reorganization plan must be less than the total of all postpetition liabilities and allowed claims.
• D)The fresh-start entity must have a deficit.

---

Definitions:

White Citizens' Councils

Segregationist organizations in the United States, particularly in the South during the mid-20th century, that opposed racial integration and promoted white supremacy.

School Integration

The process of ending racial segregation in schools, legally mandated by the Supreme Court's Brown v. Board of Education decision in 1954.

Southern States

Refers to the states that are located in the southeastern and south-central regions of the United States, historically known for their distinct cultural, social, and economic characteristics.

Jim Crow

A set of laws and customs in the southern United States enforcing racial segregation and discrimination against African Americans from the late 19th century into the 1960s.