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Shi Company is going through a Chapter 7 bankruptcy. All assets have been liquidated, and the company retains only $26,600 in free cash. The following

Shi Company is going through a Chapter 7 bankruptcy. All assets have been liquidated, and the company retains only $26,600 in free cash. The following debts, totaling $45,050, remain:

Government claims to unpaid taxes $ 7,400
Salary during last month owed to Mr. Key (not an officer) 19,225
Administrative expenses 3,850
Salary during last month owed to Ms. Rankin (not an officer) 6,625
Unsecured accounts payable 7,950

Indicate how much money will be paid to the creditor associated with each debt.

Administrative expenses $3,850

Salary during last month owed to Mr. Key and Ms. Rankin $20,275

Government claims to unpaid taxes $2,475

Please explain $20,275

$6,625 for Rankin but how do you calculate the $13,650 for Key?

Please help I am stuck and need an explanation

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