In this exercise, I will be placing you in a variety of corporate situations relevant to the four insolvency regimes. The basic set of accounts below will be used as the basis for discussion.

Company

AssetsBook ValueRealisable Value

Land &Building$1,000,000$700,000

(secured NAB loan)

Plant and Equipment$200,000$150,000

Cash at Bank$150,000$150,000

Accounts Receivable$150,000$100,000

Goodwill$100,000Nil*

* Assuming company's business(es) not sold as going concern