Pre-pack administration returns

Multiple-choice questions: In order to be awarded CPD units you must answer the following five random questions correctly. If you fail the test, please re-read the article before attempting the questions again

  1. Which of the following statements best describes a pre-pack administration?

  2. Why are sales often agreed without the business being advertised?

  3. To whom are businesses in pre-pack administration often sold?

  4. Which two new conditions must be satisfied before an administrator can dispose of company assets to a connected party during the first eight weeks following administration?

  5. Why might it be positive to seek the approval of creditors prior to concluding a pre-pack sale?

  6. Which of the following is a reason why seeking creditor approval could be problematic?

  7. Which is the most likely route to be followed in most pre-pack scenarios?

  8. What does an administrator need to do before a disposal?

  9. What is the purpose of the new rules around pre-pack administration?

  10. Why are new rules for pre-pack administration important now?

1 Unit