Fact Pattern 25-1

question 14

Multiple Choice

Fact Pattern 25-1
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 25-1. 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:

Matched Pairs Experiment

A study design where subjects are paired based on certain characteristics, and then different treatments are applied within each pair to compare outcomes.

Independent Samples

Samples that are collected without any of the data points in one sample affecting the data points in another sample.

Sample Variance

A statistic that measures the dispersion of a sample dataset, representing the average of the squared differences from the sample mean.

Population Variance

Population variance is a measure of the spread between numbers in a data set, representing the average of the squared differences from the population mean.