“Measures to handle corporate financial distress vary from one case to the other”. Discuss. Explain in this context the role of contingency plans and voluntary settlements. A company has run into...

“Measures to handle corporate financial distress vary from one case to the other”. Discuss. Explain in this context the role of contingency plans and voluntary settlements.

A company has run into financial distress. It has Rs 1,50,000 as outstanding debt and Rs 75,000 as the value of current assets. The creditors are agreeable to share the value of current assets. What amount should they get?