Question: If a debtor and creditor settle a liquidated claim by the creditor allowing the debtor to pay an amount less than what is owed, then

If a debtor and creditor settle a liquidated claim by the creditor allowing the debtor to pay an
amount less than what is owed, then once the debtor pays the newly agreed-upon amount,
the original debt is now satisfied and the balance of the original debt is no longer legally
owed.
True
False
 If a debtor and creditor settle a liquidated claim by the

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!