Kline Corporation incurred major losses in 2014 and entered into voluntary bankruptcy in the early part of 2015. By July 1, all assets were converted into cash, the secured creditors were paid, and $122,700 in cash was left to pay the remaining claims as follows:
Accounts payable...............................................................................$ 37,000
Claims incurred between the dates of filing an involuntary...................5,000
Petition and the date an interim trustee is appointed
Property taxes payable............................................................................8,000
Wages payable (all under $10,000 per employee.................................74,000
Earned within 90 days of filing bankruptcy petition)
Unsecured note payable........................................................................19,000
Accrued interest on the note payable......................................................2,000
Administrative expenses of the trustee.................................................12,180
Total..................................................................................................$157,180
Classify the claims by their Chapter 7 priority ranking, and analyze which amounts will be paid and which amounts will be written off.