True/False

1. A debt restructuring is a method of dealing with a troubled company that may or may not e part of a court-approved plan

2. If in a troubled debt restructuring assets are transferred to creditors in full settlement of a debt, a gain is recognized to the extend that the fair market value of the assets transferred is less than the basis of the debt

3. A debt restructuring that involves a modification of terms and does not require court approval may not require recognition of subsequent interest expense

4. Interest expense associated with a modification of terms under a debt restructuring is measured differently, depending on whether or not the modification is part of a plan under a Chapter 11 reorganization.

5. In a quasi-reorganization, if paid-in capital in excess of par value is not sufficient to absorb a deficit in retained earnings, the par value for stock may be reduced