Question
a company preparing for Chapter 7 liquidation has the following liabilities: note payable A of $100,000 secured by land having a book value of $55,000
a company preparing for Chapter 7 liquidation has the following liabilities: note payable A of $100,000 secured by land having a book value of $55,000 and fair value of $75,000. note payable B of $130,000 secured by a building having a $65,000 book value and a $45,000 fair value. note payable C of $65,000, unsecured. Administrative expenses payable of $25,000. Accounts payable of 125,000. income taxes payable of 35,000.mmthe company also has these other assets: Cash of $15,000. Inventory of $110,000 but with fair value of $65,000. Equipment of $100,000 but with fair value of $55,000. how ,uch will each of the company's liabilities be paid at liquidation?
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