≡ MENU
MCQs
Papers
Definitions
Flashcards
MCQs
Papers
Definitions
Flashcards
Categories
Finance
Absorption Costing
ACAMS Practice Questions
Accounting Basics
Accounting Cycle and Classifying Accounts
Accounting Final
Accounting For Managers
Accounting for Merchandising Activities
Accounting for Pensions
Accounting Information Systems
Accounting Principles
Accounts Receivables
Acquisition
Activity Based Costing
Adjusting Accounts for Financial Statements
Advanced Business Economics
Advertising and Public Relations
Advertising and Sales Promotion
Agency
An Overview of International Business
Analysis and Forecasting Techniques
Analyzing and Recording Transactions
Arithmetic
Asset Demand and Supply under Uncertainty
Audit
Auditing and Attestation
Bankruptcy
Behavioral and Allied Sciences
Bonds and Long Term Notes Payable
Brand Management
Budgeting
Business
Business Analytics
Business Analytics & Technology Management Chapter 2
Business Analytics & Technology Management Chapter 3
Business Analytics & Technology Management Chapter 4
Business Analytics & Technology Management Chapter 5
Business Analytics & Technology Management Chapter 6
Business and Company Law
Business Communication
Business Cycles
Business Economics
Business Environment
Business Essentials
Business Ethics and Governance
Business Ethics Exam
Business Law
Business Law Study guide
Business Mathematics
Business Organisations and Environment
Business organization and systems
Business Process Performance
Business Statistics
Business Strategy
Business Structure
Business Studies
California Real Estate
Capital Assets
Capital Budgeting
Capital Budgeting and Managerial Decisions
Capital Structure
Cash Management
Changes in Accounting Principles
Changing Marketing Environment
Conflict Theory
Consolidated Financial Statements
Consumer Behavior
Contingency
Contracts
Controlling
Corporate and Business Law
Corporate Finance
Corporate Governance
Corporate Law
Corporate Taxation
Corporation
Cost Accounting Final exam
Cost Accumulation Systems
Cost Allocation Techniques
Cost and Managerial Accounting
Cost Behavior
Cost Management
Cost Measurement
Cost of Capital
Cost Terms and Classifications
Cost Volume Profit Analysis
Currency Exchange Rates
Current Assets
Current Liabilities
Customer Relationships and Value
CVP Analysis and Marginal Analysis
Debt and Bankruptcy
Decision Makers
Decision Makers Household Sector
Decision Making
Deferred Tax
Demand for Money
Depreciation
Derivative Instruments and Hedging Activities
Dividend Policy
Dividends, Shares, and Income
Donor Tax
E Business
Economics
Elasticities of Demand and supply
Employee Training and Development
Entrepreneurship
Environments of Business
Error Correction
Essence of Management
Ethical and Professional Standards
Ethics and Social Responsibility
Ethics for Management Accountants
External Financial Statements and Revenue Recognition
Federal Securities Acts
Financial Accounting
Financial and the Nonfinancial Sectors
Financial Decision Making
Financial Instruments
Financial Instruments
Financial Intermediaries and Financial Markets
Financial Management
Financial Markets and Securities Offerings
Financial Reporting
Financial Statements
Financial Statements and Accounting Transactions
Fixed Assets
Flexible Budgets and Standard Costs
Florida Real Estate MCQs
Fraud Internal Control and Cash
Fundamental Accounting Principles
Global Finance
Global Marketing
Global Marketing and World Trade
Governmental Accounting State and Local
Gross Estate
Health and Life Comprehensive Exam
Health and Life Practice Questions
Health Insurance
Hedging Instruments
HR Management
HRM
Human Resource Management
Human Resource Management HRM
Human Resource Planning
Importance of Business Economics
Income Tax
Individual Taxation
Information Technology
Insurance
Insurance and Risk Management
Insurance License Texas Life and Health
Intangible Asset
Integrated Marketing Communications and Direct Marketing
Interactive Marketing and Electronic Commerce
Internal Auditing and Systems Controls
Internal Control and Cash
International Business
International Marketing
International Trade
Interpersonal and Organizational Communication
Introduction to Business
Introduction to Human Resource Management
Introduction to Human Resources Assessment
Inventory Management
Investment
Investment Risk and Portfolio Management
Job Order Costing
Leading
Lease
Legal Management
Life and Health Insurance
Life Insurance
Life Insurance Basics
Life Insurance Policies
Life Insurance Policy
Long Term Investment
Long Term Securities
Management
Management and Cost Accounting
Management Science
Managerial Accounting
Managerial Accounting Concepts and Principles
Managerial Economics
Managing Organizational Change
Managing Production and Operations
Managing Products and Brands
Managing Services
Market Segmentation Targeting and Positioning
Marketing
Marketing and Corporate Strategies
Marketing Channels and Wholesaling
Marketing Management
Master Budgets and Planning
Merger
Mergers and Acquisitions
Microsoft Excel
Money and Banking
mortgage
National Health Insurance
Not For Profit Accounting
Operations Management
Organization and Operation of Corporations
Organization Culture
Organization Effectiveness
Organizational Behavior
Organizational Behavior Essentials
Organizational Markets and Buyer Behaviour
Organizational Structure and Design
Partnership Taxation
Partnerships
Payroll
Payroll Liabilities
Performance Management
Personal Selling and Sales Management
Planning
Present Value
Pricing
Principles and Practices of Management
Probability Analysis
Process Costing
Production and Operations Management
Professional Practice
Professional Responsibilities
Profit Planning
Profitability Analysis and Analytical Issues
Profitability Analysis and Decentralization
Project Management
Property
Property Plant and Equipment
Property Plant and Equipment Exam
Ratio Analysis
Real Estate
Receivables
Reporting and Analyzing Cash Flows
Reporting and Analyzing Long Lived Assets
Reporting and Analyzing Receivables
Responsibility Accounting and Performance Measures
Retailing
Revenue Recognition
Risk and Procedures for Control
Sales
SAP
Secured Transactions
Service Department Costing
Short Term Financing
Short Term Investment
Standard Costs and Variance Analysis
State Health Insurance
Statement of Cash Flow
Statement of Comprehensive Income
Statement of Financial Position
Statistics
Stock Market and Stock Prices
Stockholders Equity
Strategic Marketing Process
Strategic Planning
Strategy
Structure of Interest Rates
Succession and Transfer Taxes
Supply Chain and Logistics Management
System Analysis and Design
Systems Controls
Tax Law
Taxation
Texas Real Estate
The Management Challenge
Total Quality Management
Transfer Pricing
Understanding Exchange Rates
Understanding Interest Rates
Understanding Interest Rates Determinants
Value Added Tax
Variable Costing
Working Capital
Home
—›
Debt and Bankruptcy
Debt and Bankruptcy MCQs
?
Which of the following would offer an additional source of protection to both a commercial lender and a business with accounts receivable against the ...
promissory note
credit insurance
general security agreement
?
What is the legal term for the right of a guarantor to recover from the debtor any payments made to the creditor?
subrogation
joint liability
priority interest
subversion
?
What must be in place in order for a lender to appoint a receiver or manager in the event of default on a commercial operating loan?
a deficiency of assets
a general security agreement
an acceleration clause
?
Which of the following is a distinguishing characteristic of an unsecured debt?
the loan must be advanced within a designated period
the loan is advanced pursuant to a written agreement
the absence of security interest in debtor’s assets
?
What is the name given to an agreement that includes all of the debtor's personal property as collateral?
letter of commitment
financing statement
general security agreement
?
What type of financing agreement would contain conditions relating to the provision of, among other things, an invoice, shipping receipt, and proof of...
collateral security agreement
letter of credit
blanket security agreement
letter of commitment
?
Why is a personal guarantee of a commercial loan considered to be dangerous?
The unconditional nature of this primary promise.
Their continuing nature includes total debt owned at any time.
?
Which of the following would be most likely to negatively affect the viability of a business, in the absence of influences such as a declining economy...
market penetration by big-box retailers
a consumer shift to environmental awareness
poor management and lack of available financing
?
Why was the body of law specifically governing insolvency created?
to assist businesses in coping with specific debt or general obligations
to address the respective interests of creditors
to ensure insolvent parties and their creditors are treated fairly
?
What is a debtor's recourse in the all too common circumstances where the debtor's lack of financial resources renders it unable to retain t...
formal insolvency proceedings
informal negotiations
debt counselling services
a bankruptcy proposal
?
What is the difference between a bankrupt debtor and an insolvent debtor?
the acceptance of a proposal
a creditor's ability to sue an insolvent
the involvement of a trustee
a distinct legal status
?
What must be acquired in order for a business to continue to function after its insolvency proposal has been approved by its creditors?
approval of the court
appointment of a trustee
majority approval by creditors
debtor-in-possession financing
?
Marina borrowed $5000 of the $25 000 she required to purchase her car from Ima Big Bank. The only financing document Marina signed was Ima Big Bank’...
Fraud charges will be brought, as the bank holds title to the car pending debt repayment.
The bank will review Marina's cash flow projections and extend time for payment.
A judgment will be obtained and satisfied from Marina’s general financial resources.
?
Which of the following would be a major factor in determining the remedies available to a borrower's creditors in the event of the borrower defau...
the distinction in the creditors’ status between secured and unsecured
the priority of registration in the personal property security registry
the amount of deficiency remaining after the sale of assets
the presence of an acceleration clause in the loan agreement
?
Assets acquired by a debtor after pledging a security interest in its current assets are commonly described in financing documents as
after-acquired
non-secured property
?
Which of the following would typically be requested by a lender being asked to grant a large commercial operating line of credit?
blanket coverage over all assets as security in the event of default
enhanced regulation of the credit market
priority over other creditors' pre-existing secured claims
maintenance of the assets used to secure the loan
?
When a lender has appointed a receiver, its primary objective is redeeming sufficient assets to clear a loan. To which of the following is the ability...
Courts recognize that creditors are in the lending business.
Creditors have a duty to deal with assets in a commercially responsible way.
The survival of the business is secondary to the creditor.
Creditors must avoid creating conflicts of interest.
?
Once a security interest has been perfected, the secured party will have priority over security interests that have not been perfected.
True
False
?
Which of the following represents a restriction on collection agencies when attempting to collect a debt?
They cannot contact the borrower directly.
They cannot collect a debt when the debtor is deceased.
They are prohibited from contacting anyone other than the borrower.
They must make all inquiries in writing.
?
How are secured creditors impacted by the filing of a proposal?
They can realize on their security before or after the debtor has filed a proposal.
Their interest is converted into an unsecured debt.
They will not longer be able to realize on their security.
?
A debtor must ________________ prior to creditors being in a legal position to petition the debtor into bankruptcy.
commit an act of bankruptcy
default on payment
?
What is the legal term given to the collective assets of an insolvent debtor?
statement of assets
statement of assets and liabilities
insolvent’s estate
insolvent’s net worth
?
Which of the following is a distinguishing characteristic of trustees in bankruptcy?
They are licensed under provincial legislation.
Trustees have formal professional training as debt counsellors.
Trustees have the legal authority to administer legal proceedings.
?
In which of the following situations would a debtor be considered "insolvent," as that term is applied in the Bankruptcy and Insolvency Act.
The debtor has debts of more than $250 000.
The debtor’s assets have a fair market value lower than its liabilities, and it owes more than $1000.
The debtor has committed a bankruptcy offence.
The debtor has no option other than to liquidate its assets in order to pay all of its debts.
?
BigBank Inc. is enforcing a security interest against all, or substantially all, of the inventory, accounts receivable, or other assets of a business ...
provide the debtor with 10 days’ notice of its intention to enforce its security
notify the Ombudsman for Banking Services and Investments
file a statement of claim for the amount outstanding
first attempt to collect the debt by enforcing personal guarantees
?
Which of the following is a characteristic of a personal guarantee?
The guarantors cannot be compelled to sign to ensure the granting of a loan.
Guarantees are independently negotiated arrangements.
Common law permits creditors to change loan terms without the guarantor's consent.
Guarantees are one component of a larger credit arrangement.
?
Legislation contractual remedies enabling a creditor to begin legal action for arrears, retain or take possession of collateral, and appoint a receive...
removes
confirms and supplements
?
ImaBigBank has completed its risk assessment for a commercial loan application and has decided to grant the loan. What is the legal term given to the ...
letter of intent
letter of commitment
letter of acceptance
letter of credit
?
Max and Sylvia Grundy are an elderly couple who were recently persuaded by their nephew to execute a guarantee in favour of a bank that was loaning hi...
The guarantee was not registered with at the Personal Property Security Agency.
The court will relieve a guarantor from liability where the guarantor did not receive direct personal benefit from the underlying loan.
The Grundys could rely on the acceleration clause contained in the guarantee.
A court may relieve a guarantor from liability if it is satisfied that the guarantor did not appreciate the nature and consequences of the guarantee.
?
What is the unique feature of a purchase-money security interest (PMSI)?
It is used to grant security in real property.
It gives the secured party priority over existing perfected security interests.
It provides a guarantee of payment.
?
Once discharged, a bankrupt in personal bankruptcy is released from debts.
most but not all
all
?
One of the purposes of early English bankruptcy legislation that is confirmed in Canada's version is to ensure, if possible, that potentially via...
True
False
?
A new business, Vale Gifts Inc., hopes to negotiate a loan with BigBank Inc. in order to finance the improvements it wishes to make in its store. Whic...
BigBank will want to assume title of their inventory.
BigBank will want a letter of credit.
BigBank will likely require a security agreement.
BigBank will like provide unsecured credit.
?
Which of the following is a distinguishing feature of a guarantee?
It must be filed.
It must be in writing.
It must be registered.
The issue of consideration will rarely arise.
?
Which of the following best describes the purpose of bankruptcy and insolvency law?
to ensure that all stakeholders are treated fairly
a discharge for the unwillingness of creditors to pursue claims
to deal with creditors individually
to wind up businesses without expensive proceedings
?
What legislation allows a debtor to seek remedies in order to bring closure to its obligations when a creditor has indicated that the debt is unworthy...
the Bankruptcy and Insolvency Act
the Bankruptcy Act
the Insolvency and Bankruptcy Act
the Insolvency Act
?
What is the legal name given to contractual arrangements between a debtor and its creditors for payment of debts that will allow a financially distres...
declaration
debtor-in-possession financing
assignment in bankruptcy
proposal
?
What is the legal effect if the creditors reject the debtor's Division I proposal?
The debtor is deemed to be a bankrupt.
The court will be required to approve the proposal.
The debtor can seek DIP financing.
The debtor must attend mandatory financial counselling sessions.
?
Which of the following entails high interest rates and fees and ranking ahead of most other debts?
DIP financing for wages/operating expenses during the bankruptcy protection period
the viability of bankruptcy and liquidation protection
debtor-negotiated agreements with major creditors
an assignment in bankruptcy proposed by creditors and approved by the court
?
What is meant by a debtor's assignment in bankruptcy?
the creditor's choice between legal action and extending the time to pay
the trustee will try to assess the debtor's financial health
the voluntary assignment of all the debtor's property for the creditors' benefit
the debtor can carry on business or cease business
?
Which of the following is a distinguishing feature of a Division II Proposal?
The proposal is approved if creditors representing two-thirds of the total amount owed and a majority in number vote to accept it.
A rejection of the proposal does not automatically result in bankruptcy.
The proposal is accepted if creditors representing half of the total amount owed and a majority in number vote to accept it.
They tend to be used where individuals have debts that exceed $250 000.
?
Which of the following would most likely influence the creditor's decision with regard to its options relating to the deteriorating financial hea...
whether a greater recovery of debt is possible through a proposal or through legal remedies
the creditor's ability to accelerate repayment of the debt to payment on demand
the ability of a secured creditor to take private action against specific assets
the ability to enter into negotiations with other creditors to gain greater debt recovery
?
Which of the following is a limitation of an arrangement under the CCAA?
It may only be used by corporations with total debt exceeding $5 million.
CCAA arrangements are not binding on secured creditors.
It results in the closure of the business as a going concern.
DIP financing is unavailable to the business.
?
What is the name given to the person appointed by creditors to act on their behalf and supervise the actions of the trustee in bankruptcy?
creditor trustee
inspector
manager
auditor
?
Realizing that the financial health of his business was unlikely to recover from the increased competition in the market, Clive decided to transfer ti...
Fraudulent transfer is an act of bankruptcy, and creditors can petition for bankruptcy.
Clive will have to create a proposal that won't favour one creditor over another.
To avoid collection on the guarantee, Clive cannot default on any approved proposal.
The creditors will file a statement detailing what is owed and to whom.
?
What is the nature of a relationship in which a business sells inventory to a customer to which it is not related or connected in anyway?
inter commercial
arm’s length
commercially reasonable
consumer transaction
?
Who must be recognized as either holding an accounting designation or being employed by a corporate trustee?
an insolvency trustee practitioner
a certified insolvency practitioner
a public trustee or inspector
an affiliated financial consultant
?
By whom are inspectors typically appointed, with respect to supervising the actions of a trustee, among other things?
the bankrupt’s creditors
a bankruptcy court
the bankrupt's trustee
the bankrupt
?
Treats More Bakery Inc. expects that bankruptcy proceedings will be commenced against it within the next month, and the owner has just transferred the...
as a non-arm’s length transaction that may be unwound by the courts
as proof of the bakery’s inability to operate as a going concern
as an unfortunate event, because now these assets are no longer available to the creditors
as an arm’s length transaction that may be unwound by the courts
?
What are fraudulent preferences, reviewable transactions, and fraudulent conveyances?
categories of payments made prior to bankruptcy
categories of payments made prior to insolvency
classifications of payments made subsequent to bankruptcy
classifications of payments made subsequent to insolvency
?
What is the significance of a court deeming that a payment made by an insolvent debtor is a fraudulent preference and, as such, is void?
Assets will be returned to the estate by way of transaction reversal.
All payments for services given must be reversed and repaid.
All payments to trade creditors must be reversed and repaid.
Assets transferred to relatives prior to insolvency must be reversed.
?
What is the maximum penalty that may be imposed under the BIA for a bankruptcy offence?
fines of up to $5000 and prison terms up to six months
fines up to $10 000 and prison terms up to three years
fines up to $50 000 and prison terms up to five years
fines up to $1 000 000 and prison terms up to three years
?
Which of the following would strongly support an exception to a settlement violation of the Bankruptcy and Insolvency Act?
The debtor can be shown to be unable to repay debt without the property.
The transfer took place within one year of the bankruptcy.
Valuable consideration was paid for a good-faith transfer.
There was only fraud on the part of the debtor making the transfer.
?
What legislation specifically affects conveyances of real or personal property made with the intent to, among other things, default or defraud a bankr...
Part XIII of the Bankruptcy and Insolvency Act
Companies' Creditors Arrangements Act
federal Bankruptcy and Insolvency Act
provincial fraudulent conveyances legislation
?
How are details of a bankruptcy provided to the bankrupt's creditors?
through a proof of claim
through formal notice
through meetings with official receivers
at the first meeting of creditors
?
How does a creditor provide formal notice to the trustee of the amount owed and the nature of the debt?
through a financing statement
through a creditor's meeting
through a proof of claim
through a statement of claim
?
Which of the following would most likely be applicable to the Canada Revenue Agency with respect to a bankrupt's unremitted payroll deductions?
superior status to all secured and unsecured creditors
unsecured creditor status
secured creditor status
preferred creditor status over unsecured creditors
?
Which of the following is a distinguishing characteristic of a preferred creditor, with respect to distributing the proceeds of a bankrupt's esta...
Each is paid a reasonable amount for supplies according to their order of priority.
Preferred creditors typically have a security interest in a particular asset.
Each is paid a reasonable amount for services according to their order of priority.
Preferred creditors are guaranteed a minimum $3000 recovery.
?
Which of the following would most strongly support a type of superior priority when distributing the proceeds of a bankrupt's estate to creditors...
provincial fraudulent conveyancing legislation
the Bankruptcy and Insolvency Act
the Wage Earner Protection Act
the Wage Earner Protection Program
?
How long after the assignment into bankruptcy should a bankrupt in a first-time personal bankruptcy expect to wait before being discharged from bankru...
six months
nine months
two years
seven years
?
In what way are a debtor, a creditor, and a trustee treated similarly under the Bankruptcy and Insolvency Act?
All may commit criminal violations known as bankruptcy offences.
All may commit a bankruptcy offence by violating specific duties established in law.
All commit a bankruptcy offence if they accept payments exceeding their entitlement.
All commit a bankruptcy offence if they acting in a conflict of interest.
?
Which of the following is most frequently the result of proving that the value of assets was less than half the liabilities?
a bankruptcy offence
an absolute discharge
a criminal offence
a conditional discharge
?
How is it possible for a business to reduce and perhaps transfer the legal risks of bankruptcy associated with all aspects of financing its enterprise...
by following expert advice and carefully reviewing financing contracts
by filing for creditor protection
by transferring assets into family trusts
by declaring bankruptcy at the first sign of financial difficulty
?
How will a trustee distribute a bankrupt's estate proceeds to secured, preferred, and unsecured creditors?
according to their respective legislative and contractual priorities
by prioritizing the status of creditors according to the age of the loan
by prioritizing the status of creditors according to the size of each debt
according to the order in which their respective proof of claims were received
?
Which of the following forms of credit does "trade credit" usually assume?
secured credit
unsecured credit
letter of credit
collateral loan
?
Tiki Imports Ltd. plans to purchase items in inventory from a supplier in China. What would Tiki want to assure that it has obtained prior to making p...
credit arrangements
a letter of commitment
title documents
collateral security
?
Brooker Boat Inc. plans to sell 10 boats to a Holiday Boat Sales Ltd. What is the name of the written promise by Holiday's bank to Brooker to pay...
loan agreement
security agreement
collateral pledge
letter of credit
?
Which of the following is a commonality shared by buildings and inventory with respect to financing a business?
Each is subject to a particular set of enforcement procedures.
Both can serve as collateral for business loans.
Both are commonly used in letters of credit to distribute default risk.
Each is subject to a particular set of legal rules.
?
A lender considering a commercial loan application examined the potential customer’s intellectual property and its accounts receivable history. Whic...
the lender’s unfair bargaining advantage
regulations ensuring the accuracy of complied information
the assets’ current value and any existing creditor’s claims
the respectability of the lender’s credit history
?
Consumer protection laws relating to lending institutions are scattered throughout a number of pieces of legislation. What is the unifying theme that ...
prohibiting misleading statements in credit applications
the ongoing respectability of licensed credit bureaus
licensing, permitted activities, and terms of credit
protecting borrowers from exorbitant interest rates
?
A lender has been fined, its licence has been suspended, and it is subject to an order by the regulator prohibiting further violations. What may the c...
protection of the personal information the borrower was required to provide
time to shop for better terms and less restrictive lending conditions
a prohibition against misleading statements in ensuing credit reports
loan terms adjusted by a court and a claim for damages
?
Which of the following companies would risk the revocation of its licence for failing to provide accurate information?
banking institution
collection agency
credit bureau
credit card company
?
Which of the following is a valid criticism of the federal government's delegation of the regulation of payday lending costs to the provinces?
The provinces have been slow to establish a regulatory framework.
The permitted rate of fees, charges, and commissions are often too low.
The permitted costs of borrowing are inconsistent among the provinces.
The actual cost of these loans will continue to exceed 1000 percent.
?
Gita has entered into a loan contract with ABC Loans Inc. in which Gita agrees to pay 70 percent per annum on the outstanding balance of the loan. Whi...
Gita and ABC can agree to whatever interest rate they find mutually acceptable.
The interest rate contemplated in the loan violates the Criminal Code.
ABC is not permitted to charge more than 25 percent per annum pursuant to the Judgment Interest Act.
It is implied that this will be compounding interest.
?
What is one of the criticisms levelled against new federal legislation regulating payday loans?
The new rules are too stringent and costly to enforce.
The new rules are too lax and do not address legitimate business concerns.
The new rules apply only in limited situations.
The new rules delegate responsibility to the provincial governments.
?
Which of the following is a valid characterization of the borrower’s promise to repay a loan and the lender’s collateral or security if the borrow...
They are the major elements of the credit agreement.
Each refers to any interest in property that is of value to a lender.
Each reflects the need for extensive security due to uncertain value.
They are the lender’s value in any property interest.
?
How are assets used as security generally classified with respect to a general security agreement?
as a real property mortgage over the business's assets
as an assignment of the business's accounts receivable
in terms of the degree of control the lender will acquire upon default
in terms of whether they are meant to be retained in the debtor’s business
?
Which of the following represents a valid criticism of payday loans?
They are inconvenient for customers.
They provide credit to individuals with poor credit ratings.
They exploit people who are already financially vulnerable.
They are too risky for lenders.
?
Why is the unencumbered status of assets considered to be a distinguishing characteristic?
They are typically worth more than the existing debt.
They are typically acquired after giving a security interest.
Lenders typically find them most attractive as security.
Lenders typically find their portability to be a risk.
?
Which of the following is a common feature shared among the provinces with respect to personal property security arrangements?
they all involve major inconvenience and expense
there is a patchwork of different statutes
each has one set of registration rules
they comply with differing sets of rules
?
With respect to the priority of registered interests in a personal property security registry, which of the following would be given priority as a res...
general financing statements
blanket financing statements
specific security agreements
general security agreements
?
What role does legislation play with respect to enabling a creditor to begin legal action for arrears, retain or take possession of collateral, and ap...
confirms and supplements contractual remedies
protects borrowers' assets in the event of deficiency
protects borrowers from acceleration clauses
classifies the status of creditors as secured or unsecured
?
Atlas Vehicle Loans Ltd. has a valid security interest in a truck owned by one of its clients. The client is now in default under the loan agreement a...
yes, by appointing a receiver
yes, but only as an unsecured creditor
no, because Atlas' collection efforts are limited to its collateral
no, because Atlas cannot sue if it elects to seize and sell the collateral
?
Which of the following would likely give a bank unlimited access to the debtor’s assets as an unsecured creditor?
the floating charge debenture signed by the debtor
the creditor’s seizure and sale notice requirements
the contract of guarantee in favour of the creditor
the standard form credit agreement for a particular creditor
?
Which of the following is a common means of dealing with payment risk in international transactions?
guarantees
security agreements
a letter of commitment
a letter of credit