Hanna Corporation filed a petition under Chapter 7 of the bankruptcy act on June 30, 2011. Data relevant to its financial position as of this date are:

REQUIRED1. Prepare a statement of affairs assuming that the note payable and interest are secured by a mortgage on the equipment and that wages are less than $4,000 per employee.2. Estimate the amount that will be paid to each class of claims if priority liquidation expenses, including trustee fees, are $4,000 and estimated net realizable values are actuallyrealized.

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Estimated Net Realizable Values Book Value $ 2.200 $ 2,200 Cash Accounts receivable-net Inventories 15,000 13,500 20,000 22.500 28,000 $66,200 Equipment-net Total assets 55,000 $92.200 Accounts payable Rent payable Wages payable Note payable plus accrued interest Capital stock Retained earnings (deficit) Total liabilities and equity $26,400 7,600 12.000 31.000 55,000 (39,800) $92.200