上财会计学院院长高级财务会计（美国会计）.ppt

2 2) insolvent refers to the financial condition  of a person or business enterprise 3) bankrupt refers to a legal state 13. Relief procedures for insolvency 1) debt restructuring ? direct agreements with creditors ? more applicable to equity insolvency 2) reorganization 3) liquidation 2) and 3) are more applicable to bankruptcy insolvency 2. Bankruptcy Reform Act of 1978 * 3 21. 1898 Bankruptcy Act: first bankruptcy law 22. The 1978 act provided a comprehensive law of bankruptcy as well as new bankruptcy judges and new bankruptcy courts 23. The duties of the Office of US Trustee ? monitoring the performance of the private trustee that they appointed to bankruptcy ? functioning as trustees when private trustees were unable or unwilling to serve ? supervising general administration of bankruptcy 24. Duties of debtor corporation (p.649-650) 25. Chapter 7 (liquidation) chapter 11 (reorg.) * 4 3. Liquidation 31. Conditions for liquidation 1) voluntary proceeding: a petition filed by debtor corporation 2) in- proceeding: a petition filed by creditors ? three or more entities holding non contingent, unsecured claims aggregating at least $12,300 ? a single creditors with an unsecured claim of $12,300 or more may also file when there are less than 12 unsecured creditors 32. Duties of the trustee (p.650) 33. Payment of claims (p.651) * 5 34. Statement of affairs 1) nature a legal document prepared by the trustee to provide relevant information for the trustee, creditors and bankruptcy court 2) reporting basis: liquidation concern 3) valuation: expected net realizable value (NRV) 4) assets are classified on the basis of availability for fully secured, partially secured, priority, and unsecured creditors 5) liabilities are classified as priority, fully secured, partially secured and unsecured 6) required information * 6 ? balance sheet? expected liquidation value ? contractual agreements with creditors 7) illustration (p.651~653) 35. Trustee accoun