12 Questions
What can be considered as a company's assets when it ends?
Both tangible and intangible properties
What are the two groups a company's end can be divided into?
Voluntary and Involuntary
What could be a reason for a company to end voluntarily?
The company's goals have been fulfilled
What is the primary difference between a company ending voluntarily and involuntarily?
Voluntary ending is when the company is solvent but not profitable enough, involuntary is when the company has no prospects of becoming profitable
What could be a reason for a company to end involuntarily?
The company is in financial distress with no prospects of profitability
What types of assets can be considered when a company ends?
Both tangible and intangible assets
What does it mean when a company is described as insolvent?
The company is not profitable and has little hope of recovery
What could be a possible scenario for a company to end voluntarily?
The company's goals have been fulfilled
What can be a reason for a company to end involuntarily?
The company's owners started a business, but they have no one to step in their footsteps
What is the term used for the process of selling a company's assets and distributing the income to creditors?
Winding up
Which term is used in the US for both human and legal person insolvency?
Bankruptcy
What is the final step in the process of ending a company, applicable only to companies?
Dissolution
Discover what happens to a company's assets when it comes to an end. Learn about the different reasons for a company to cease operations and how assets are categorized. Test your knowledge on voluntary and involuntary company closures, bankruptcy, insolvency, and more.
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