I want someone to make sure that I did this correctly. The professor is very picky about how we submit our results and not 100% sure on this question:

A company that was to be liquidated had the following liabilities:

Income taxes	$	11,700
Notes payable (secured by land)		159,000
Accounts payable	$	105,200
Salaries payable to employees ($17,000 for Henry and $4,000 for Ann)		21,000
Bonds payable		79,000
Administrative expenses for liquidation		27,000

The company had the following assets:

		Book Value		Fair Value
Current assets	$	108,000	$	46,300
Land		136,000		125,000
Buildings & equipment		134,000		141,000

Prepare a schedule to show the amount of total liabilities with priority.

Here is my answer:

Free Assets
Current Assets	$ 46,300
Building & Equipment	$ 141,000
Total	$ 187,300
Liabilities with Priority
Administrative Expenses	$ 27,000
Salaries Payable	$ 21,000
Income Taxes	$ 11,700
Total	$ 59,700
Free Asset after Liabilities payment with priority	$ 127,600
Unsecured Liability
Notes Payable	$ 34,000
Accounts Payable	$ 105,200
Bonds Payable	$ 79,000
Total	$ 218,200