A company enters Chapter 7 bankruptcy proceedings. Its balance sheet, prepared using GAAP for a company with continuing operations, is as follows:

Cash

$ 15,000

Accounts payable

$ 90,000

Inventories

100,000

Loans payable

300,000

Plant and equipment, net

250,000

Equity (deficit)

(25,000)

Total

$365,000

Total

$365,000

The plant and equipment is security for one of the loans, with a balance of $130,000. The other liabilities are unsecured. The following transactions occur:

* Inventories with a book value of $60,000 were sold for $40,000.

• *The plant and equipment was sold for $200,000. The loan secured by the plant and equipment was paid.
• *Wages and administrative expenses of $10,000 were accrued.
• *An initial payment of 40 cents per dollar of indebtedness was paid to the unsecured creditors.

On the receiver's balance sheet at the end of the period, total assets are:

A. $ 90,000 B. $ 40,000 C. $ 61,000 D. $111,000