Which of the following statements is true regarding bankruptcy?

A. Most people are familiar with the bankruptcy process.

B. Bankruptcy proceedings are not regulated by federal law.

C. Bankruptcy is mentioned in the United States Constitution.

D. None of the bankruptcy proceedings are held in bankruptcy court.

Question

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26 July, 18:48

Which of the following statements is true regarding bankruptcy?

A. Most people are familiar with the bankruptcy process.

B. Bankruptcy proceedings are not regulated by federal law.

C. Bankruptcy is mentioned in the United States Constitution.

D. None of the bankruptcy proceedings are held in bankruptcy court.

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Answers (1)

Know the Answer?

Briana Henson · Answer 1

C. Bankruptcy is mentioned in the United States Constitution.

Explanation:

First, not most people are familiar with the process of bankruptcy unless they have to face the verge of bankruptcy in their business or working in law or regulatory fields dealing with bankruptcy business.

In the United States, bankruptcy is regulated by federal law. So that the answer bankruptcy is not regulated by federal law is also wrong.

In addition, bankruptcy case will only be heard in the federal court, so that the answer D is also wrong.

Lastly, United States Constitution does authorize Congress to enact laws related to bankruptcy in the United States.

=> So that C is the answer