A(n) ________ replaces the existing operating management of an insolvent firm with a selected creditor committee.
A) composition
B) creditor control
C) extension
D) liquidation

Question

Quizplus · Accepted Answer

This is describing a creditor control, where the management of an insolvent firm is replaced by a selected creditor committee. The other options don't fit this description; composition refers to a plan to settle debts, extension refers to a delay in payment deadlines, and liquidation refers to the process of selling off assets to pay creditors.

A(n) ________ Replaces the Existing Operating Management of an Insolvent