Bankruptcy

Pronunciation: /ˈbæŋkrəpsiː/

Bankruptcy (noun)

  1. A legal situation when a person or business cannot pay its debts and a court decides how money will be handled.
  2. A serious failure of a business because it cannot earn enough money to pay what it owes.

Examples

  • The company filed for bankruptcy after unpaid debts grew.
  • Bankruptcy can happen when money problems become too serious.