Use the following table to help answer the question below.
State Single-earner 2-person
Florida
$41,226
$52,259
Georgia
$40,691
$55,258
Missouri
$39,645
$51,568
Texas
$38,940
$55,859
Virginia
$48,362 $65,122
3-person
$58,574
$61,104
$60,371
$59,222
$74,151
4-person
$69,009
$68,502
$71,059
$66,381
$85,939
A family of 2 that has a monthly income of $4,650 is thinking about filing bankruptcy. In order to file for Chapter 7
bankruptcy, in which of the following states could the family be living?
a Georgia or Florida
b. Florida or Texas
C. Georgia or Virginia
d. Virginia or Texas
Please select the best answer from the choices provided
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Answer :

Answer:

d.

They could file for Chapter 13 bankruptcy and discharge some of their debt.

Step-by-step explanation:

The states in which the family of 2, that has a monthly income of $4,650, be living in order to file for Chapter 7 bankruptcy, are cities mention in option d.

What is bankruptcy?

Bankruptcy is the procedure by which the people who are unable to pay the debts to creditors, may get relief from some or all the debts.

The following table represent the bankruptcy limit for annual income of a family with different number of members.

  • State        Single-earner  2-person  3-person  4-person
  • Florida       $41,226       $52,259     $58,574   $69,009
  • Georgia     $40,691       $55,258     $61,104     $68,502
  • Missouri    $39,645       $51,568      $60,371    $71,059
  • Texas        $38,940       $55,859     $59,222   $66,381
  • City 5        $48,362       $65,122       $74,151     $85,939

A family of 2 that has a monthly income of $4,650 is thinking about filing bankruptcy. The annual income of the family is,

[tex]I=4650\times12\\I=55800[/tex]

The annual income of this family is $55800. In the third coloumn for the 2 person family of the table, the only two states Texas and city 5 of table has more than this amount.

Hence, the states in which the family of 2, that has a monthly income of $4,650, be living in order to file for Chapter 7 bankruptcy, are city mention in option d.

Learn more about the bankruptcy here;

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