To punish debtors for their financial mismanagement

To provide a fresh start for debtors who are unable to repay their debts

To protect creditors from losing money on bad loans

To redistribute wealth from the rich to the poor

Chapter 7

Chapter 11

Chapter 12

Chapter 13

In Chapter 7, the debtor's assets are liquidated and the proceeds are distributed to creditors, while in Chapter 13, the debtor is allowed to keep their assets and repay their debts over time

In Chapter 7, the debtor is required to file a reorganization plan, while in Chapter 13, the debtor is not required to file a reorganization plan

In Chapter 7, the debtor is required to pay back all of their debts in full, while in Chapter 13, the debtor is only required to pay back a portion of their debts

In Chapter 7, the debtor is allowed to keep their assets and repay their debts over time, while in Chapter 13, the debtor's assets are liquidated and the proceeds are distributed to creditors

To oversee the liquidation of the debtor's assets

To develop a reorganization plan for the debtor

To distribute the proceeds of the liquidation to creditors

All of the above

It releases the debtor from all of their debts

It allows the debtor to keep their assets

It prevents creditors from contacting the debtor about their debts

All of the above

A secured debt is backed by collateral, while an unsecured debt is not

A secured debt has a higher interest rate than an unsecured debt

A secured debt is more difficult to discharge in bankruptcy than an unsecured debt

All of the above

To allow creditors to question the debtor about their financial situation

To vote on a reorganization plan

To approve the discharge of the debtor's debts

All of the above

A Chapter 11 reorganization plan is filed by a business, while a Chapter 13 reorganization plan is filed by an individual

A Chapter 11 reorganization plan is more complex than a Chapter 13 reorganization plan

A Chapter 11 reorganization plan is more likely to be approved by the court than a Chapter 13 reorganization plan

All of the above

It allows the business to continue operating

It reduces the amount of debt that the business owes

It gives the business a chance to reorganize its finances

All of the above

It allows the individual to keep their assets

It reduces the amount of debt that the individual owes

It gives the individual a chance to reorganize their finances

All of the above

In a Chapter 7 liquidation, the debtor's assets are liquidated and the proceeds are distributed to creditors, while in a Chapter 11 reorganization, the debtor is allowed to keep their assets and repay their debts over time

In a Chapter 7 liquidation, the debtor is required to file a reorganization plan, while in a Chapter 11 reorganization, the debtor is not required to file a reorganization plan

In a Chapter 7 liquidation, the debtor is required to pay back all of their debts in full, while in a Chapter 11 reorganization, the debtor is only required to pay back a portion of their debts

In a Chapter 7 liquidation, the debtor is allowed to keep their assets and repay their debts over time, while in a Chapter 11 reorganization, the debtor's assets are liquidated and the proceeds are distributed to creditors

To approve the reorganization plan

To oversee the implementation of the reorganization plan

To appoint a bankruptcy trustee

All of the above

A secured creditor has a lien on the debtor's assets, while an unsecured creditor does not

A secured creditor is more likely to be paid in full than an unsecured creditor

A secured creditor has a higher priority than an unsecured creditor

All of the above

To allow creditors to file a claim for their debts

To provide the bankruptcy court with information about the debtor's debts

To help the bankruptcy trustee distribute the proceeds of the liquidation

All of the above