Making Repairs Ltd. (MRL) has decided to liquidate its assets and pay off all its obligations. Below is a summary of MRL's assets and liabilities. Book value Cash $10,000 Accounts receivable $70,000 Inventories $680,000 Prepaid $50,000 Equipment $2,800,000 Loans payable (face value) $1,700,000 Supplier payables $420,000 The trustee in bankruptcy expects to receive net proceeds equal to 80% of the accounts receivable and 60% of the inventories. The net proceeds on sale of the equipment total $2,300,000. Penalties for lease termination total $230,000. The loan can be settled at 110% of its face value. And the suppliers will settle for 90% of the amount owing. Which one of the following is the liquidation value of MRL? Question 25 options: a) $254,000 b) $296,000 c) $346,000 d) $526,000