Since your company is making a loss, there is nothing you can do about it. You are indeed lucky since your company paid you lay-off benefit. For your question:-
1) If you reject their offer and remain in the company, the person who suffer is you. It is better if you fight for more benefit (the lay-off money). Try to discuss with your employer that you are not satisfied with the amount.
In EA, the employee is entitled to the following lay-off benefit payment:
1 year but less than 2 years - 10 days wages for each year of employment
2 years but less than 5 years - 15 days wages for each year of employment
5 years and more - 20 days wages for each year of employment.
Pro-rate basis for an incomplete year. Calculated to the nearest month.
2) Any termination or lay-off benefit payment due shall paid within 7 days after the date with effect from which the contract is terminated, or the date which the period of 4 consecutive weeks has expired.
*A written statement stating the amount of such payment and the calculated manner has to be given to the employee.
If you want to help the company, you can accept the 4 installment also.
3) I not encourage you to do this. The amount of the lay-off benefit will not much. If you still want find lawyer, your lay-off benefit may not cover the expenses (private lawyer).
The above all is for salary below RM 1500 or manual worker salary above RM 1500. If you are not covered with EA, the company may refuse to pay you the lay-off benefit.