A practical REG map for bankruptcy questions
Identify the chapter and creditor act, then analyze the automatic stay, claim priority, and discharge as separate Code questions.
The decision that earns the point
Classify the tax fact before calculating
A REG bankruptcy question starts by identifying the debtor and chapter, then classifying the act, property, claim, priority, and discharge issue. A bankruptcy filing can trigger the automatic stay, but statutory exceptions and court-ordered stay relief can change the result.
Exam use
REG can test liquidation versus reorganization, the automatic stay, claim priority, avoidable transfers, and discharge within the Blueprint business-law scope.
Your scratch-paper plan
Solve it in three moves
- 1
Identify debtor and chapter
Determine the debtor type and whether the case is a liquidation or reorganization.
2026 Uniform CPA Examination Blueprints - 2
Classify the act or claim
Separate collection activity, estate property, secured claims, priority claims, and general unsecured claims.
11 USC §507: Priorities - 3
Check exceptions before concluding
Test a stay exception, stay relief, and any discharge exception raised by the facts.
11 USC §362: Automatic stay
Worked problem
Work the facts before choosing the answer
An individual debtor voluntarily files a Chapter 7 case while a general unsecured creditor continues a collection lawsuit for a prepetition debt. Assume no §362(b) exception applies and no court has granted relief from the stay.
CPAPass original exam illustration using stated assumptions
Show the work
The lawsuit is an act to continue a proceeding and collect a prepetition claim, so §362(a) stays it under the stated assumptions.
Rule source: 11 USC §362: Automatic stayAnswer
Treat the lawsuit as stayed and move the creditor's claim into the bankruptcy classification process.
Rule source: 11 USC §362: Automatic stayDo it now
Test the same decision with a fresh question
Start with free REG practice. Create an account only when you want the 5-day no-card CPAPass trial and continued section practice.
The trap and the repair
Common trap
Assuming every debt is discharged or every creditor ranks equally ignores collateral, priority, and statutory exceptions.
Repair
State the chapter, classify the act or claim, and check the relevant exception before writing the legal consequence.
Bankruptcy issue map
Identify the Code question before choosing the result
Stay, priority, and discharge are separate analyses. A fact that controls one does not automatically decide the others.
| Issue | Controlling fact | Exam output | Authority |
|---|---|---|---|
| Automatic stay | Petition date, collection act, prepetition or postpetition claim, and any exception or relief | Whether the creditor action must stop | 11 USC §362: Automatic stay |
| Priority | Claim type and statutory category | Order within unsecured claims, subject to the Code | 11 USC §507: Priorities |
| Chapter 7 discharge | Debtor conduct, statutory grounds, and whether a separate debt exception applies | Whether the debtor receives a discharge under §727 | 11 USC §727: Discharge |
After a miss
Sort a bankruptcy question by Code issue
- 1
Write chapter, petition timing, creditor act, and claim type before choosing stay, priority, or discharge law.
- 2
Rework the lawsuit example after adding a court order granting stay relief and state exactly which conclusion changes.
- 3
Apply the same issue labels to another bankruptcy scenario and name the stay, priority, or discharge question in the final sentence.
Your exam workflow
- Step 1Read the requirementIdentify what the task asks you to decide about bankruptcy cpa exam reg.
- Step 2Sort the factsDetermine the debtor type and whether the case is a liquidation or reorganization.
- Step 3Apply the ruleSeparate collection activity, estate property, secured claims, priority claims, and general unsecured claims.
- Step 4Check the outputTest a stay exception, stay relief, and any discharge exception raised by the facts.
Keep the next step narrow
Quick questions
What is the shortest useful answer for bankruptcy cpa exam reg?
A REG bankruptcy question starts by identifying the debtor and chapter, then classifying the act, property, claim, priority, and discharge issue. A bankruptcy filing can trigger the automatic stay, but statutory exceptions and court-ordered stay relief can change the result.
How can bankruptcy cpa exam reg appear on the CPA Exam?
REG can test liquidation versus reorganization, the automatic stay, claim priority, avoidable transfers, and discharge within the Blueprint business-law scope. The exact task can change, so identify the governing facts before applying the rule.
What is the most common mistake with bankruptcy cpa exam reg?
Assuming every debt is discharged or every creditor ranks equally ignores collateral, priority, and statutory exceptions. State the chapter, classify the act or claim, and check the relevant exception before writing the legal consequence.
Where should I practice bankruptcy cpa exam reg?
After the worked example, use REG practice for a fresh question that requires the same decision. If the miss depends on debtor-creditor relationships, review that handoff before trying another set.
How should I review bankruptcy cpa exam reg after a missed question?
Write chapter, petition timing, creditor act, and claim type before choosing stay, priority, or discharge law. Rework the lawsuit example after adding a court order granting stay relief and state exactly which conclusion changes. Apply the same issue labels to another bankruptcy scenario and name the stay, priority, or discharge question in the final sentence.