View attached explanation and answer. Let me know if you have any questions.

Running Head: THE BANKRUPTCY PROCESS

Bankruptcy Process
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Institutional Affiliation
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Capital structure and legal structure in the bankruptcy process
Bankruptcy is a legal process in which an individual or business fails to pay its
outstanding debts and is declared bankrupt. By selling assets or arranging a repayment plan,
those who cannot pay their bills can get back on their feet through the bankruptcy process. The
debtor files a petition to initiate the bankruptcy process. However, there are structures put in
place to ensure that organizations sail safely through the entire process of bankruptcy
Organizational capital structure
A company's capital structure refers to the particular mix of debt and equity utilized to
fund its assets and activities (Cerpentier et al., 2021). If the firm's WACC (weighted average
cost of capital) falls below a certain threshold, then the firm's capital structure is considered
optimal. Many economists and auditors have stated that the higher the cost of capital, the
greater the likelihood of bankruptcy (Antill & Grenadier, 2019). Managers must have a balance
between debts and equity to run their operations optimally. In any case, where these two do not
balance, then the company stands on the verge of being bankrupt. Therefore, companies going
through bankruptcy have to be cautious with their capital structure to make good progress.
Legal structure
The bankruptcy status of a company or business depends on whether the firm is a single
proprietorship, a partnership, and limited liability company (LLC) or a corporation (Abuselidze
& Katamadze, 2018). Depending on the firm's legal structure, a company may file a specific
chapter of bankruptcy. As a sole proprietor, all personal and business finances are considered
part of the bankruptcy, and during filing, all assets must be included. Partners, like sole
proprietors, are individually liable for the company's debts. Chapter 11 bankruptcy, on the other
hand, permits companies to restructure and pay creditors less money each month (Antill &
Grenadier, 2019).

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Conclusion

Businesses have to be careful about their capital structure to ensure that they don't go
bankrupt. Both the depts and equity have to be balanced. Additionally, when a company
becomes bankrupt, it is essential to fill out the proper bankruptcy paperwork, depending on its
structure.

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Reference

Abuselidze, G., & Katamadze, G. (2018). The importance of legal forms of business subject
for formation of business environment in Georgia. Kwartalnik Nauk o
Przedsiębiorstwie, 49(4), 83-88.
Antill, S., & Grenadier, S. R. (2019). Optimal capital structure and bankruptcy choice:
Dynamic bargaining versus liquidation. Journal of Financial Economics, 133(1), 198224.
Cerpentier, M., Vanacker, T., Paeleman, I., & Bringmann, K. (2021). Equity crowdfunding,
market timing, and firm capital structure. The Journal of Technology Transfer, 1-28.
Lee, M. (2021, May 24). What happens to the stock of a company that goes bankrupt? Your
shares of a company in bankruptcy may become worthless. Investopedia. Retrieved
from https://www.investopedia.com/ask/answers/06/bankruptpublicfirm.asp


Running Head: THE IMPACT OF ORGANIZATIONAL ETHICS

The Impact of Organizational Ethics
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Institutional Affiliation

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The impact of organizational ethics
The application of an organization's codes of ethics requires following a set of
established procedures. Their moral development and cultural influence affect individual
employees' ethical or immoral conduct in the workplace. They are influenced by their peers,
supervisors, superiors, and the remuneration system, group norms, organizational principles,
and how those values and regulations are executed. According to Galunic (2020), developing
and managing ethical conduct may be done in various ways. Consequently, human resource
management (HRM) is critical in the creation and administration of employee ethics. The HRM
department might employ training, communication, and establishing discipline to attain this
aim. Certain corporations may have ethics officers tasked who are responsible for enforcing
ethical standards in the workplace.
Essentially, the company's ethical climate, or the so-called "company culture," plays a
significant role in shaping the employee's behavior (Meng & Berger, 2019). The organization's
management puts down the rules, which in turn become a "culture." Ehrhart and Kuenzi (2017)
state that well-behaved employees get retained in an organization compared to ill-mannered
ones. As a result, a company becomes more sustainable. It is because workers feel intrinsically
and extrinsically motivated. When this is achieved, workers always uphold organizational
ethics since they think it enhances their personal development.
Ethical management has proven to bring out better results in all dimensions. Be it
employee turnover, employee retention, and even company performance in general. Jürgen
Klopp, a manager at the Liverpool football club, has been identified as one of the most ethical
football managers of all time (Galunic, 2020). Klopp strongly believes in the culture of respect,
and respect reigns among the players in his team. This had brought the club numerous successes
since 2015 when Klopp took over as the club manager. Bill gates, the founder of Microsoft

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Corporation, has been ranked as a highly ethical leader from a cooperate view. He once said
that "The success of a leader is dependent on the success of their subordinates" (Maccoby,
2001). How a leader handles employees directly reflects on their performance.

IMPACT OF ORGANIZATIONAL ETHICS
Reference
Ehrhart, M. G., & Kuenzi, M. (2017). The impact of organizational climate and culture on
employee turnover. The Wiley Blackwell Handbook of the Psychology of
Recruitment, Selection and Employee Retention, 494.
Galunic, C. (2020). Back to the Front: Foundational Leadership Traits and Skills. In
Backstage Leadership (pp. 233-268). Palgrave Macmillan, Cham.
Maccoby, M. (2001). The human side: Successful leaders employ strategic intelligence.
Research-Technology Management, 44(3), 58-60.
Meng, J., & Berger, B. K. (2019). The impact of organizational culture and leadership
performance on PR professionals' job satisfaction: Testing the common mediating
effects of eng...