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Chesterfield Company holds cash of $55,000, inventory worth $100,000, and a building worth $135,000. Unfortunately, the company also has accounts payable of $185,000, a note
Chesterfield Company holds cash of $55,000, inventory worth $100,000, and a building worth $135,000. Unfortunately, the company also has accounts payable of $185,000, a note payable of $85,000 (secured by the inventory), liabilities with priority of $21,700, and a bond payable of $160,000 (secured by the building). In a Chapter 7 bankruptcy, how much money should the holder of the bond expect to receive? Total amount received by bond holders
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