New Year Sale 2026! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25
Welcome to Pass4Success

- Free Preparation Discussions
Mail Us support@pass4success.com
Location US
Mob_nav_barsMENU

CIMAPRA17-BA4-1 Exam - Topic 6 Question 100 Discussion

Actual exam question for CIMA's CIMAPRA17-BA4-1 exam
Question #: 100
Topic #: 6
[All CIMAPRA17-BA4-1 Questions]

Which of the following would be paid last by a company which had been placedin insolvent liquidation?

Show Suggested Answer Hide Answer
Suggested Answer: A, D, F

by Jeniffer at Sep 17, 2024, 04:00 AM

Limited Time Offer

25%

Off

Get Premium CIMAPRA17-BA4-1 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

0/2000 characters
Submit Cancel
Eric
3 months ago
Totally agree with B, shareholders are at the bottom of the list!
upvoted 0 times
...
Merlyn
3 months ago
Wait, are unpaid wages really lower priority than directors' fees?
upvoted 0 times
...
Casandra
3 months ago
No way, it’s C for sure, directors' fees are usually last.
upvoted 0 times
...
Kenneth
4 months ago
I think it's actually A, unsecured debentures are tricky.
upvoted 0 times
...
Micaela
4 months ago
Definitely B, shareholders get paid last.
upvoted 0 times
...
Glendora
4 months ago
I recall that directors' fees can sometimes be tricky, but I think they get paid before shareholders, so maybe it’s B after all.
upvoted 0 times
...
Kiera
4 months ago
I practiced a similar question where unsecured debts were paid last, so I’m leaning towards A, but I could be wrong.
upvoted 0 times
...
Ahmad
4 months ago
I'm not entirely sure, but I feel like unpaid wages might be prioritized over other debts, so it could be A or C.
upvoted 0 times
...
Brandon
5 months ago
I think I remember that shareholders are usually at the bottom of the priority list in liquidation, so maybe it's B?
upvoted 0 times
...
Gladys
5 months ago
Ah, this is a tricky one. I remember learning about the order of payments in insolvency, but I'm drawing a blank right now. I'll have to make an educated guess and hope for the best.
upvoted 0 times
...
Sol
5 months ago
Hmm, I'm not totally sure about this one. I know that secured creditors get paid first, but I'm a bit fuzzy on the order after that. I'll need to review my notes to be confident.
upvoted 0 times
...
Lauran
5 months ago
This question seems straightforward, I think the answer is B - share capital invested by the shareholders would be paid last in an insolvent liquidation.
upvoted 0 times
...
Lavera
5 months ago
Okay, let me think this through. In an insolvent liquidation, the order of payment is typically: 1) secured creditors, 2) preferential creditors like employees, 3) unsecured creditors, and 4) shareholders. So I believe the answer is B.
upvoted 0 times
...
Florinda
10 months ago
Unpaid employees' wages? What, are they supposed to work for free while the company goes under? That's like asking a starving person to share their last crumb.
upvoted 0 times
Darrin
8 months ago
C) Fees owed to the directors
upvoted 0 times
...
Zita
9 months ago
B) Share capital invested by the shareholders.
upvoted 0 times
...
Arlyne
9 months ago
A) Outstanding loan capital and interest due to the holder of an unsecured debenture.
upvoted 0 times
...
...
Ammie
10 months ago
C) Fees owed to the directors? Hah, of course the directors would try to get their cut before the employees. Gotta love corporate greed!
upvoted 0 times
Deane
8 months ago
D) Unpaid employees' wages
upvoted 0 times
...
Alease
8 months ago
B) Share capital invested by the shareholders.
upvoted 0 times
...
Franklyn
9 months ago
A) Outstanding loan capital and interest due to the holder of an unsecured debenture.
upvoted 0 times
...
...
Lang
10 months ago
A) Outstanding loan capital and interest due to the holder of an unsecured debenture? Sounds like a fancy way of saying 'the bank gets paid first.' No surprise there.
upvoted 0 times
Jerry
9 months ago
C) Fees owed to the directors.
upvoted 0 times
...
Louann
9 months ago
B) Unpaid employees' wages.
upvoted 0 times
...
Berry
10 months ago
A) Share capital invested by the shareholders.
upvoted 0 times
...
...
Youlanda
10 months ago
B) Share capital invested by the shareholders? That's just crazy, they should be the last ones to get paid! What were the exam writers thinking?
upvoted 0 times
Cristal
8 months ago
B) Share capital invested by the shareholders
upvoted 0 times
...
Tamesha
9 months ago
C) Fees owed to the directors
upvoted 0 times
...
Jina
10 months ago
D) Unpaid employees' wages
upvoted 0 times
...
Mozell
10 months ago
A) Outstanding loan capital and interest due to the holder of an unsecured debenture.
upvoted 0 times
...
...
Darnell
10 months ago
D) Unpaid employees' wages definitely seems like the correct answer. I can't imagine a company not paying its workers first before anything else.
upvoted 0 times
...
Cristy
11 months ago
But what about outstanding loan capital and interest due to the holder of an unsecured debenture? Shouldn't that be paid first?
upvoted 0 times
...
Charlesetta
11 months ago
I agree with Christa, employees should be paid first before other creditors.
upvoted 0 times
...
Christa
11 months ago
I think unpaid employees' wages would be paid last.
upvoted 0 times
...

Save Cancel