Question

All of the following are incorrect as to the rights of creditors regarding a business's assets except

a) rights of creditors come after the rights of owners.
b) rights of creditors come before the rights of stockholders.
c) rights of creditors and the rights of the owners are equal.
d) rights of the stockholders precede the rights of the creditors.

Answer 1

Creditors and owners have equal rights regarding a business's assets.

Step-by-step explanation:

The correct answer to the question is c) rights of creditors and the rights of the owners are equal. This means that the rights of creditors and the rights of the owners hold the same level of importance or priority in regards to a business's assets. The other options mentioned in the question are incorrect.