Briefly explain what is included in a bankruptcy estate
What will be an ideal response?
The bankruptcy estate includes all the debtor's legal and equitable interests in real, personal, tangible, and intangible property, wherever located, that exist when the petition is filed, and all interests of the debtor and the debtor's spouse in community property. Certain exempt property is not part of the bankruptcy estate. Exempt property is property of the debtor that he or she can keep and that does not become part of the bankruptcy estate. The creditors cannot claim this property. Gifts, inheritances, life insurance proceeds, and property from divorce settlements that the debtor is entitled to receive within 180 days after the petition is filed are part of the bankruptcy estate. Earnings from property of the estate—such as rents, dividends, and interest payments—are property of the estate. Earnings from services performed by an individual debtor are not part of the bankruptcy estate in a Chapter 7 liquidation bankruptcy.
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__________include the ability to evaluate a situation, identify alternatives, select a reasonable alternative, and make a decision to implement a solution to a problem.
A. Conceptual and design skills B. Human relations skills C. Business skills D. Human resource skills E. Revenue skills
The parol evidence rule limits the types of evidence that be used to prove terms of an agreement
a. True b. False
Beach Corporation has a return on investment of 15%. A Beach division, which currently has a 13% ROI and $750,000 of residual income, is contemplating a massive new investment that will (1) reduce divisional ROI and (2) produce $120,000 of residual income. If Beach strives for goal congruence, the investment:
A. should be acquired because after the acquisition, the division's ROI and residual income are both positive numbers. B. should be acquired because it produces $120,000 of residual income for the division. C. should not be acquired because the division's ROI is less than the corporate ROI before the investment is considered. D. should not be acquired because it reduces divisional ROI. E. should not be acquired because it produces $120,000 of residual income.
Kevin Montgomery Retail seeks your assistance to develop cash and other budget information for May, June, and July. At April 30, the company had cash of $5,500, accounts receivable of $437,000, inventories of $446,250, and accounts payable of $133,055. The budget is to be based on the following assumptions:SALES:Each month's sales are billed on the last day of the month. Customers are allowed a 3% discount if payment is made within 10 days after the billing date. Receivables are recorded in the accounts at their gross amounts (not net of discounts). 55% of the billings are collected within the discount period; 30% are collected by the end of the month; 9% are collected by the end of the second month; and 6% turn out to be uncollectible.PURCHASES:The marketing, general, and administrative
expenses and 60% of all purchases of merchandise are paid in the month purchased, with the remainder of merchandise purchases paid in the following month. The number of units in each month's ending inventory is equal to 125% of the next month's sales (units). The cost of each unit of inventory is $30. Marketing, general, and administrative expenses, of which $3,000 is depreciation, are equal to 15% of the current month's sales.Actual and projected sales are as shown below: Dollars Units March$472,000 11,800 April$484,000 12,100 May$476,000 11,900 June$456,000 11,400 July$480,000 12,000 August$480,000 12,200 What are the budgeted merchandise purchases (in dollars) for June? A. $319,500. B. $364,500. C. $375,000. D. $342,000.