Fact Pattern 41-1B (Questions B5-B7 Apply)

Multiple Choice

Fact Pattern 41-1B (Questions B5-B7 apply)
DIY Fasteners Company decides to consolidate its operations with Evergrip Studs, Inc., to form Fit-Rite Bolts & Screws Inc.
-Refer to Fact Pattern 41-1B. Evergrip owed money to Guaranty Bank and other creditors. After the consolidation, Fit-Rite must pay

A) all of Evergrip's debts.
B) half of Evergrip's debts.
C) none of Evergrip's debts.
D) only debts that Evergrip incurred after consolidation was proposed.