Martin Was Owed $10,000 in Wages He Had Earned in the Past

Multiple Choice

Martin was owed $10,000 in wages he had earned in the past 2 months but had not been paid by his employer Allsafe Industries Inc. Allsafe has now been forced into bankruptcy by the bank. Which of the following statements is TRUE?

A) Martin can claim $10,000 as a preferred creditor
B) Martin can claim $10,000 as a secured creditor
C) Martin can claim $10,000 as an unsecured creditor
D) Martin can claim $5,000 as a secured creditor and $5,000 as an unsecured creditor
E) Martin can claim $2,000 as a preferred creditor and $8,000 as an unsecured creditor