Which of the Following Is False Regarding Chapter 12 of the Bankruptcy

question 3

Multiple Choice

Which of the following is false regarding Chapter 12 of the bankruptcy code?

• A) A family farmer under Chapter 12 must have regular annual income.
• B) The family farmer's gross income must be at least 50 percent farm-dependent.
• C) At least 50 percent of the family farmer's debt must be farm-related.
• D) The debt must be under a certain debt cap.
• E) Congress modeled Chapter 12 after Chapter 7 relief.

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Definitions:

Economic Profit

The profit a company makes after subtracting both its explicit and implicit costs from total revenues.

Labor Services

The physical and intellectual efforts provided by workers in exchange for wages.

National Income

The total income earned by a country's residents and businesses, including wages, profits, and investment earnings, usually measured within a specific time period.

Transfer Payments

Payments made by governments to individuals through social benefit programs without any goods or services being received in return.