A company preparing for a Chapter 7 liquidation has the following liabilities:

• Note payable A of $140,000 secured by land having a book value of $75,000 and a fair value of $95,000.
• Note payable B of $170,000 secured by a building having a $85,000 book value and a $65,000 fair value.
• Note payable C of $85,000, unsecured.
• Administrative expenses payable of $45,000.
• Accounts payable of $145,000.
• Income taxes payable of $55,000.

The company also has these other assets:

• Cash of $35,000.
• Inventory of $150,000 but with a net realizable value of $85,000.
• Equipment of $140,000 but with a net realizable value of $75,000.