Fact Pattern 30-1AStacy sells her all-terrain vehicle (ATV) to her brother Terrill for $1,000. Twelve days later, Stacy files a petition in bankruptcy for relief through a liquidation.Refer to Fact Pattern 30-1A. Regarding the sale of the ATV, the trustee may

A. cancel it as a fraudulent transfer.
B. cancel it as a voidable preference.
C. not cancel it because it is a sale, not a gift.
D. not cancel it, but can sue Terrill's estate for the return of the $1,000.


Answer: A

Business

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