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Mondesto Company has the following debts: Unsecured creditors $ 248,000 Liabilities with priority 128,000 Secured liabilities: Debt 1, $246,000; value of pledged asset 198,000 Debt
Mondesto Company has the following debts: Unsecured creditors $ 248,000 Liabilities with priority 128,000 Secured liabilities: Debt 1, $246,000; value of pledged asset 198,000 Debt 2, $206,000; value of pledged asset 118,000 Debt 3, $138,000; value of pledged asset 176,000 The company also has a number of other assets that are not pledged in any way. The creditors holding Debt 2 want to receive at least $170,800. For how much do these free assets have to be sold so that the creditors associated with Debt 2 receive exactly $170,800?
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