Journal Entries for Bankruptcy Trustee The balance sheet of the Binder Company immediately prior to entering bankruptcy proceedings and a balance sheet prepared during liquidation follows: BINDER COMPANY Balance Sheet June 30, 2016 Cash Accounts receivable 10,000 Accrued wages* Inventories Equipment, net Land Total assets Amounts due do not exceed statutory limits per employee $ 40,000 7,000 8,000 70,000 (15,000) $110,000 2,000 Accounts Payable 0,000 Taxes payable 53,000 Notes payable* 15,000 Stockholders' equity $110.000 Total liabilities and equity Ofthe notes payable, $25,000 are secured with inventory having a book value of $25,000. The remaining notes payable and the accounts payable are unsecured BINDER COMPANY, Alfred Wade, Trustee, Balance Sheet December 31. 2016 Accounts payable $30,000 Notes payable 41,250 Estate deficit 9,000) Cash $9,250 Equipment, net 53,000 $62250 Total liabilities and equity Total assets The inventory was sold at 60 percent of its book value. Eighty percent of the accounts receivable were collected; the rest were written off Required Reconstruct the journal entries made by Alfred Wade, Trustee for Binder Company, from June 30 to December 31, 2016 Journal Entries for Bankruptcy Trustee The balance sheet of the Binder Company immediately prior to entering bankruptcy proceedings and a balance sheet prepared during liquidation follows: BINDER COMPANY Balance Sheet June 30, 2016 Cash Accounts receivable 10,000 Accrued wages* Inventories Equipment, net Land Total assets Amounts due do not exceed statutory limits per employee $ 40,000 7,000 8,000 70,000 (15,000) $110,000 2,000 Accounts Payable 0,000 Taxes payable 53,000 Notes payable* 15,000 Stockholders' equity $110.000 Total liabilities and equity Ofthe notes payable, $25,000 are secured with inventory having a book value of $25,000. The remaining notes payable and the accounts payable are unsecured BINDER COMPANY, Alfred Wade, Trustee, Balance Sheet December 31. 2016 Accounts payable $30,000 Notes payable 41,250 Estate deficit 9,000) Cash $9,250 Equipment, net 53,000 $62250 Total liabilities and equity Total assets The inventory was sold at 60 percent of its book value. Eighty percent of the accounts receivable were collected; the rest were written off Required Reconstruct the journal entries made by Alfred Wade, Trustee for Binder Company, from June 30 to December 31, 2016