detriment of general creditors". Discuss and examine the reasoning in the case. One of the principle aims of insolvency law is to provide an equal‚ fair and orderly procedure in handling the affairs of insolvents ensuring that creditors receive an equal and equitable distribution of the assets of the debtor. This is the pari passu (equal sharing) principle‚ which is generally regarded as being the foremost principle of insolvency law. The rule operates to ensure that creditors of the same priority
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the shareholders and creditors or they pay money to buy the assets to help the firm raised funds respectively. And in this case‚ we can find out that firms had to raise fund $440 from its shareholders and creditors to make their investment. d. If no new debt was issued during the year‚ what is the cash flow to creditors? What is the cash flow to stockholders? Explain and interpret the positive and negative signs of your answer in (a) through (d). Cash flow to creditors = Interest paid –
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to partnership fulfilling its purpose‚ partners desire to not continue the business‚ or partnership is in financial difficulty. It may voluntary or involuntary. Voluntary if the partners choose to liquidate the business and involuntary when the creditors force the partnership to liquidate. Order of Preferences The
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spouse’s contribution to property acquired during the marriage. This distinction has implications most commonly seen in divorce cases‚ where property is divided among the divorcing spouses. However‚ community property law can also seriously impact creditors if proper steps are not taken to obtain a proper
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numbers in 2004. What concerns would investors and creditors have based on only this information? Some of the things that creditors and investors might be worried about would be that their cash and cash equivalents are decreasing and that their assets are steadily accelerating. Some also might think that it is important to know that Lucent technologies is in an extremely competitive sector. Another thing that the investors and creditors might be concerned about is that the demand is in a decline
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Lecture 6 Receivables 1. Types of receivables (1)Accounts receivable: the amounts owed to the firm by customers on account from the sale of goods or services (2)Notes receivable: the amounts owing to the firm outside normal trade for which formal instruments of credit are issued evidencing the debt‚ and on which interest is generally payable (3) Other receivables include non-trade receivables such as interest receivable‚ loans‚ advances and GST receivable. 2. Accounting for A/R Accounts receivables
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To: Stacy Hopkins From: Suzanne M. Briscoe Re: Final Assessment Probate 65B Date: June 12‚ 2013 1. What does the term “probate estate” refer to? The term “Probate Estate” quite simply‚ refers to all the assets and property owned at the time of the defendant’s death that require some form of probate proceeding before the title and assets may be transferred to the proper heirs. 2. If property (either community or separate) goes outright to a surviving spouse or domestic partner
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impairment. If a note receivable is impaired‚ the loss is measured by the creditor as the difference between the investment in the loan (usually the principal plus accrued interest) and the expected future cash flows discounted at the loan’s historical effective interest rate. US GAAP recognizes the uncollectible amount through an allowance account. Unlike IFRS‚ US GAAP prohibits the reversal of impairment losses. In the U.S.‚ creditors sometimes work with customers and change the terms of the original
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Issues The issue is whether Violet and Sonny are partners in‚ rather than creditors to‚ Busy Bee as represented by Rose and Mary to Friendly Bank and if they are determined to be partners‚ whether they would be liable for Busy Bee’s debts to Friendly Bank because of the agency relationship between partners in a partnership. Rules In determining whether there is a partnership‚ the essential elements of a partnership must first be satisfied‚ that is: a business is being carried on; the business
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There are many laws in the world today that some may find are neither rational nor fair for all the parties involved in the situation. I have chosen two laws that I do not think are logical‚ these two are apparent authority and executory process. The first law I will be discussing is an agency this is the right one person has to execute business on behalf of another person or corporation. There are three important parties involved in an agency relationship; the agent (this is who can enter a contract
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