Table of contents

1. Introduction to Accounting1h 21m
2. Transaction Analysis1h 13m
3. Accrual Accounting Concepts2h 38m
4. Merchandising Operations2h 30m
5. Inventory1h 55m
6. Internal Controls and Reporting Cash1h 16m
7. Receivables and Investments3h 8m
8. Long Lived Assets5h 1m
9. Current Liabilities2h 19m
10. Time Value of Money1h 23m
- Time Value of Money Equations
  35m
- Using Time Value of Money Tables
  47m
11. Long Term Liabilities2h 45m
12. Stockholders' Equity2h 15m
13. Statement of Cash Flows2h 24m
14. Financial Statement Analysis5h 25m
15. GAAP vs IFRS56m

6. Internal Controls and Reporting Cash

Fraud and the Fraud Triangle

Financial Accounting

6. Internal Controls and Reporting Cash

Fraud and the Fraud Triangle

Previous problemNext problem

Struggling with Financial Accounting?

Join thousands of students who trust us to help them ace their exams!Watch the first video

Multiple Choice

Bankruptcy is considered a last resort because it stays on someone's credit record for how many years?

Up to 5 years

Up to 3 years

Up to 10 years

Up to 2 years

Previous problemNext problem

Verified step by step guidance

Understand the concept of bankruptcy: Bankruptcy is a legal process through which individuals or businesses unable to meet their financial obligations can seek relief from some or all of their debts. It has significant consequences, including its impact on credit records.

Learn about credit records: A credit record is a detailed report of an individual's credit history, including loans, credit cards, and other financial activities. Negative events like bankruptcy are recorded and can affect future borrowing ability.

Research the duration of bankruptcy on credit records: In the United States, bankruptcy typically remains on a credit report for up to 10 years, depending on the type of bankruptcy filed (e.g., Chapter 7 or Chapter 13). This duration is set by credit reporting agencies and legal guidelines.

Compare the options provided in the question: The options include durations of 2 years, 3 years, 5 years, and 10 years. Based on the standard practice, the correct answer is 'Up to 10 years.'

Conclude the importance of understanding bankruptcy's impact: Knowing how long bankruptcy affects credit records is crucial for financial planning and decision-making, as it influences future creditworthiness and financial opportunities.