Chapter 11

(noun)

In bankruptcy involves rehabilitation or reorganization and is known as corporate bankruptcy. It is a form of corporate financial reorganization which typically allows companies to continue to function while they follow debt repayment plans.

Related Terms

Examples of Chapter 11 in the following topics:

  • Bankruptcy and Bond Value

    • When a business is unable to service its debt or pay its creditors, the business or its creditors can file with a federal bankruptcy court for protection under either Chapter 7 or Chapter 11 of the Bankruptcy code.
    • In Chapter 7, the business ceases operations, a trustee sells all of its assets, and then distributes the proceeds to its creditors.
    • In Chapter 11, in most instances, the debtor remains in control of its business operations as a debtor in possession, and is subject to the oversight and jurisdiction of the court.
    • As an example, after an accounting scandal and a chapter 11 bankruptcy at the giant telecommunications company Worldcom in 2004, its bondholders ended up being paid 35.7 cents on the dollar.

  • What Happens in Bankruptcy

    • Furthermore, a US trustee may be heard on any issue in any bankruptcy case, except for filing a Chapter 11 plan of reorganization.
    • Bankruptcy under Chapter 11, 12, or 13 requires more complex reorganization, and involves allowing the debtor to keep some or all of his or her property and to use future earnings to pay off creditors.
    • Individuals usually file Chapter 7 or Chapter 13.
    • Chapter 11 is commonly the form of re-organizational bankruptcy frequently entered into by businesses.
    • Debtors may "emerge" from a Chapter 11 bankruptcy within a few months or several years, depending on the size and complexity of the bankruptcy.

  • Bankruptcy Considerations

    • In the U.S. firms that go bankrupt normally file for Chapter 7 or 11.
    • Chapter 7 involves basic liquidation for businesses.
    • Chapter 7 is the simplest and quickest form of bankruptcy available.
    • Chapter 11 involves rehabilitation or reorganization and is known as corporate bankruptcy.

  • Solutions to Exercises in Chapter 12

  • Practice 1: Center of the Data

    • Exercise 2.11.2: What does the relative frequency column sum to?
    • Use the table in section 2.11.3 to calculate the following values:
    • Exercise 2.11.13: Interquartile range (IQR) = _____ - _____ = _____
    • Exercise 2.11.16: Find the value that is 3 standard deviations: a.
    • Solutions to all exercises can be found at the end of the chapter

  • Practice 3: Test of a Single Variance

    • Solutions to problems can be found at the end of the chapter

  • Practice 2: Binomial Distribution

    • Solutions for problems can be found at the end of the chapter

  • Solutions to Exercises in Chapter 4

    • P(F OR P) = 45/100 + 25/100 − 11/100 = 59/100
    • P(B on 2nd draw | R on 1st draw) = 8/11 There are 9 + 24 outcomes that have R on the first draw (9 RR and 24 RB).
    • P(RB or BR) = 3/11 · 8/10 + (8/11)(3/10) = 48/110
    • P(R on 1st and B on 2nd) = P(RB) =(3/11)(8/10) = 24/110

  • Chapter Questions

  • Chapter Questions