At the time it defaulted on its interest payments and filed for bankruptcy, the McDaniel Mining Company had the balance sheet provided in the Microsoft Excel Online file below. The court, after trying unsuccessfully to reorganize the firm, decided that the only recourse was liquidation. Sale of the fixed assets, which were pledged as collateral to the mortgage bondholders, brought in $460,000, while the current assets were sold for another $320,000. Thus, the total proceeds from the liquidation sale were $780,000. The trustee's costs amounted to $60,000; no single worker was due more than $2,000 in wages; and there were no unfunded pension plan liabilities. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below.

How much will McDaniel's shareholders receive from the liquidation? If your answer is zero, enter "0". Round your answer to the nearest dollar.

$ ________

How much will the mortgage bondholders receive? If your answer is zero, enter "0". Round your answer to the nearest dollar.

$ ________

How much will other priority claimants receive from the liquidation? Do not round intermediate calculations. Round your answers to the nearest dollar.

Claimant	Amount
Trustee's expenses	$ ________
Workers' wages due	$ ________
Governments' taxes due	$ ________
Total	$ ________

How much will the remaining general creditors receive from the distribution before subordination adjustment? If your answer is zero, enter "0". Do not round intermediate calculations. Round your answers to the nearest dollar.

Account	Amount Received
Accounts payable	$ ________
Notes payable	$ ________
Second mortgage bonds	$ ________
Debentures	$ ________
Subordinated debentures	$ ________
Total	$ ________

What is the effect of adjusting for subordination? If your answer is zero, enter "0". Do not round intermediate calculations. Round your answers to the nearest dollar.

Account	Amount Received after subordination adjustment
Notes payable	$ ________
Subordinated	$ ________

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Liquidation
Proceeds from sale of fixed assets			$460,000
Proceeds from sale of current assets			$320,000
Trustee's costs			$60,000
Any single worker due more than $2,000 in wages?			No
Any unfunded pension plan liabilities?			No
Balance Sheet:
Current assets	$400,000		Accounts payable	$50,000
			Accrued taxes	40,000
			Accrued wages	30,000
			Notes payable	180,000
			Total current liabilities	$300,000
Net fixed assets	600,000		First-mortgage bonds*	300,000
			Second-mortgage bonds*	200,000
			Debentures	200,000
			Subordinated debentures **	100,000
			Common stock	50,000
			Retained earnings	-150,000
Total assets	$1,000,000		Total claims	$1,000,000
Notes:
* All fixed assets are pledged as collateral to the mortgage bonds.
**Subordinated to notes payable only.
Distribution to Common Shareholders:				Formulas
Amount distributed to common shareholders				#N/A
Distribution to Mortgage Bondholders:
Proceeds from sale of fixed assets			$460,000
Less:
First mortgage (paid from sale of fixed assets)				#N/A
Second mortgage (paid from sale of fixed assets)				#N/A
Total funds distributed to mortgage bondholders			$0
Funds available from fixed assets proceeds after distribution to bondholders			$460,000
Distribution to Priority Claimants:
Proceeds from sale of assets after distribution to mortgage bondholders				#N/A
Less:
Fees and expenses of bankruptcy				#N/A
Wages due to workers within 3 months of bankruptcy				#N/A
Taxes due to federal, state, and local governments				#N/A
Total funds distributed to priority claimants				#N/A
Funds available for distribution to general creditors				#N/A
Pro Rata Distribution Before Subordination Adjustment				#N/A
Distribution to General Creditors:
General Creditors' Claims	Amount of Claim		Pro Rata Distribution Before Subordination Adjustment	Distribution after Subordination Adjustment	Total Amount Received	Percentage of Original Claim Received
Unsatisfied portion of first mortgage				$0
Accounts payable	50,000			0	0
Notes payable (to banks)	180,000				0
Second mortgage				0
Debentures	200,000			0	0
Subordinated debentures	100,000				0
Total claims	$530,000			$0