1. Statement 1: Corporations that are financially related to one another are considered as group of creditors. Statement 2: Partnerships that are owned more than 50% by the same person are group of debtors.

Group of answer choices

True; True

True; False

False; True

False; False

2. In case of voluntary Liquidation of Business Organization, which of the following is correct?

Group of answer choices

The debtor files for the petition for liquidation contending that total asset is not sufficient to pay the total liability

Three (3) or more creditors the aggregate of whose claims is at least either One million pesos (Php1,000,000) or at least twenty-five percent (25%) of the subscribed capital stock or partner's contributions of the debtor, whichever is higher, may apply for liquidation.

Creditor whose claim is at least either Five Hundred Pesos (Php500,000) or at least twenty-five percent (25%) of the subscribed capital stock or partner's contributions of the debtor, whichever is higher, may apply for liquidation.

Creditor whose claim is at least either One million pesos (Php1,000,000) or at least twenty-five percent (25%) of the subscribed capital stock or partner's contributions of the debtor, whichever is higher, may apply for liquidation.

3. The voluntary proceedings may be initiated by an insolvent debtor through filing a petition for rehabilitation with the court and on the grounds provided under the FRIA, which of the following is true?

Group of answer choices

The filing of the petition for rehabilitation must be approved by 2/3 vote of the partners in partnership

The filing of the petition for rehabilitation must be approved by the manager in case of a partnership.

The filing of the petition for rehabilitation must be approved by majority vote of the Board of Directors or Trustees and 2/3 vote of the subscribed capital stocks in a corporation

The filing of the petition for rehabilitation must be approved by majority vote of the Board of Directors or Trustees and 2/3 vote of the outstanding capital stocks in a corporation

4. Statement 1: In accordance with concurrence and preference of credit, fully secured creditors are those whose claim against the debtor has asset pledged or attached to it and the fair value of the former is greater than the fair value of the latter. Statement 2: In accordance with concurrence and preference of credit, the partially secured creditors are those creditor who is claiming for payment of his salaries and wages.

Group of answer choices

False; True

True; False

False; False

True; True