Final answer:
Firms like Dow Corning and Continental Airlines filed for bankruptcy for strategic reasons to restructure debts and continue operations. Lehman Brothers' bankruptcy in 2008 marked the onset of a major economic crisis. Businesses choose bankruptcy to manage debts while maintaining operations. Hence, option (A), (B) and (C) are correct.
Step-by-step explanation:
Examples of firms that filed for bankruptcy for strategic reasons include Dow Corning, Continental Airlines, and Northwest Airlines. These firms chose bankruptcy as a way to restructure their debts and operations, rather than shutting down their businesses.
For instance, Dow Corning filed for bankruptcy in 1995 to manage liabilities associated with breast implant claims. Continental Airlines used bankruptcy in 1983 and 1990 to restructure its debts and contracts. As for the investment banking firm that went bankrupt in 2008, which signaled the beginning of a major economic crisis, the answer is Lehman Brothers.
Many firms continue to operate after filing for bankruptcy because it allows them to restructure their debts and continue business operations under the protection of bankruptcy laws. This approach is chosen over shutting down because it enables firms to preserve jobs, manage their debts more effectively, and potentially return to profitability.