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ORDER OF PAYMENTS
The bankrupt’s estate must be distributed in the following order.1. Cost and charges:Costs and charges properly incurred in administering the estate must be paid in priority to all debts and in the proper sequence.2. Pre preferential debts:These are:
3. Preferential debts:These include:
4. Unsecured debts:These rank equally after payment of preferential debts in full.5. Deferred debts:These include:
6. SurplusAny surplus remaining after payment of all debts and other liabilities in full must be returned to the bankrupt.
The Federal Government The Federal Government is the single largest influence on the U.S. economy. There are two main areas in which the government can impact the economy: fi
Mr. Wong currently running a small manufacturing business. The Trial Balance of the business at 31 March 2011 is as follows:
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