Absolute priority rule in event of corporate liquidation


Absolute priority rule. in the event of corporate liquidation proceedings, rank the following claimants of the firm from highest to lowest in order of their priority for being paid

a. Preferred shareholders

b. Canada revenur agency

c. Unsecured debt holders

d. The company pension plan

e. Common shareholders

f. employee wages

g. The law firm respresenting the company in the bankruptcy proceeding

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Financial Management: Absolute priority rule in event of corporate liquidation
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