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A company that was to be liquidated had the following liabilities: Income Taxes $ 15,000 Notes Payable secured by land 120,000 Accounts Payable 48,000 Salaries
| A company that was to be liquidated had the following liabilities: | |||
| Income Taxes | $ | 15,000 | |
| Notes Payable secured by land | 120,000 | ||
| Accounts Payable | 48,000 | ||
| Salaries Payable ($18,000 for Employee #1 and $5,000 for Employee #2) | 23,000 | ||
| Administrative expenses for liquidation | 25,000 | ||
| The company had the following assets: | Book Value | Fair Value | |
| Current Assets | $ | 130,000 | $115,000 |
| Land | 60,000 | 100,000 | |
| Building | 175,000 | 220,000 | |
Total liabilities with priority are calculated to be what amount?
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Applications Of Statistical Sampling To Auditing
Authors: Alvin A. Arens, James K. Loebbecke
1st Edition
0130391565, 978-0130391568
