4
QuizMultiple Choice

Cumulative Exam — Cumulative exam

Question 4 • * HSA 26-27 Economics

Though it is seen as a last resort, bankruptcy allows a consumer to

Answer
A
temporarily stop paying debts.
B
eliminate certain types of debt.
C
easily reestablish good credit.
D
receive credit in an emergency.

Explanation

Bankruptcy can discharge, or legally eliminate, certain debts, such as qualifying credit-card debt. It does not erase every type of debt, and it does not make it easy to rebuild good credit, so “eliminate certain types of debt” is the best answer.

AI-written and checked against the verified answer.

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