Which of the Following Is False Regarding Chapter 13 of the Bankruptcy

question 85

Multiple Choice

Which of the following is false regarding Chapter 13 of the bankruptcy code?

• A) Chapter 13 permits individuals with regular income to pay their debts to creditors in installment plans under the supervision of the court.
• B) Any debtor who files under Chapter 13 could also have filed under Chapter 11.
• C) Chapter 13 repayment plans are usually simpler and less expensive than Chapter 11 plans.
• D) By statute Chapter 13 plans last between 36 and 60 months.
• E) Individuals, partnerships, and corporations may file for a Chapter 13 repayment plan.

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Definitions:

Common Fixed Costs

Costs that do not change in total regardless of changes in the level of activity or volume of output and are shared among multiple products or departments.

Accounting Records

Documents and books that systematically record all financial transactions of an entity, providing a foundation for financial statements and tax returns.

Cost-Plus Transfer

Cost-plus transfer refers to a pricing method where the selling price of a product is determined by adding a fixed profit margin to the total cost of production or procurement.

Market-Price Transfer

The practice of setting the price for goods or services sold between divisions within the same company based on the current market price.