Big Co's financial position prior to liquidation is as follows:

Assets:

Cash 80,000

Accounts receivable 440,000

Note receivable 200,000

Inventory 1,060,000

Prepaid assets 20,000

Land 1,000,000

Building, net 4,000,000

equipment, net 600,000

Total 7,400,000

Liabilities and Equity

Accrued expenses 442,000

current tax payable 700,000

Accounts payable 2,000,000

Note payable 600,000

Loan payable 4,000,000

Share capital 1,000,000

Retained Earnings(deficit) (1,342,000)

Total 7,400,000

Additional Info:

a. 24% of the accounts receivable is uncollectible

b. the note is fully collectible. In addition, 20,000 interest is expected to be received.

c. the inventory's estimated selling price and costs to sell are 840,000 and 20,000, respectively

d. prepaid assets are non-refundable

e. the land and building, which are pledged as securities for the 4,000,000 loan, are expected to be sold at a package price of 5,200,000. An additional 30,000 is expected to be paid for the interest on the loan

f. the equipment, which has a net selling price of 400,000 is pledged as security for the note payable

g. admin expense 60,000 are expected to be incurred in the liquidation process

h. the accrued expenses include salaries payable of 50,000

i. the other liabilities are expected to be settled equally to their carrying amounts

a. Prepare the Statements of Affairs

b. How much is the estimated deficiency?

c. How much is the estimated recovery percentage of unsecured creditors without priority

d. Mr. A supplier, has an outstanding account receivable of 500,000from big co. How much can Mr. A expect to recover from his claim?