What is called the situation in which a debtor remains unable to pay his creditors in full ?

Related Mcqs:

1. How is termed the legal proceeding in which debtor remains unable to pay his creditors in full ?

   A. Bankruptcy
   B. Default
   C. Total loss
   D. Crash

2. What occurs when a firm’s business is terminated Assets are sold, proceeds are used to pay creditors, and any leftovers are distributed to shareholders ?

   A. Solvency
   B. Crash
   C. Bankruptcy
   D. Liquidation

3. Suppose there are three identical vases available to be purchased. Buyer 1 is willing to pay Rs30 for one, buyer 2 is willing to pay Rs25 for one, and buyer 3 is willing to pay Rs20 for one. If the price is Rs25, how many vases will be sold and what is the value of consumer surplus in this market ?

   A. Three vases will be sold, and consumer surplus is Rs80
   B. One vase will be sold, and consumer surplus is Rs5.
   C. One vase will be sold, and consumer surplus is Rs30.
   D. Three vases will be sold, and consumer surplus is Rs0.
   E. Two vases will be sold, and consumer surplus is Rs5.

4. What is called interest payments plus repayments of principal to creditors ?

   A. Debt retirement
   B. Debt relief
   C. Debt service
   D. Payback

5. What is called bankruptcy practitioner appointed by secured creditors to oversee the repayment of debts?

   A. Liquidator
   B. Solicitor
   C. Receiver
   D. Agent

6. Which situation will a country face, if the birth rate falls sharply, while the death rate remains unchanged ?

   A. a fall in living standards
   B. a more youthful population
   C. an ageing population
   D. an increase in population

7. Which of the following country was not a major LDC debtor in 2001 ?

   A. Brazil
   B. Argentina
   C. Thailand
   D. Malaysia

8. A country that is a net international debtor initially experiences a (an) ?

   A. larger savings pool available to finance domestic spending
   B. higher interest rate which leads to lower domestic investment
   C. loss of funds to trading partners overseas
   D. decrease in its services exports to other countries

9. _______ represents the difference between what consumer have to pay for a product and what they are willing and able to pay ?

   A. producer surplus
   B. deadweight surplus
   C. government surplus
   D. consumer surplus

10. The difference between what consumers have to pay for a particular and what they are willing to pay is known as ?

    A. consumer surplus
    B. producer surplus
    C. deadweight costs
    D. deadweight surplus