A person can be declared insolvent if
A)he or she has no assets.
B)his or her spouse is insolvent as well.
C)he or she owes $1000 and is unable to pay.
D)monthly payments exceed $1000.

Question

Quizplus · Accepted Answer

Insolvency is the state of being unable to pay one's debts as they fall due. So, if a person owes $1000 and cannot pay it, he or she can be declared insolvent. Other options are incorrect because having no assets or having insolvency spouse doesn't necessarily mean a person is insolvent and having monthly payments exceeding $1000 is not a definite criterion for insolvency.

A Person Can Be Declared Insolvent If