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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: $ 7,400 Government claims to unpaid taxes Salary during last month owed to Mr. Key (not an officer) Administrative expenses Salary during last month owed to Ms. Rankin (not an officer) Unsecured accounts payable 19, 225 3,850 6,625 7,950 Indicate how much money will be paid to the creditor associated with each debt. Answer is complete but not entirely correct. Types of Debts Amounts Administrative expenses Salary during last month owed to Mr. Key and Ms. Rankin Government claims to unpaid taxes $ (3,850) $ (19,225) X $ 7,400 x
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