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Statement of Affairs Dellwood Corporation is experiencing difficulty in paying its bills and is considering filing for bankruptcy. Current data as of September 30, 2017,
Statement of Affairs Dellwood Corporation is experiencing difficulty in paying its bills and is considering filing for bankruptcy. Current data as of September 30, 2017, show the following:
Assets | Expected Realizable Value | |
---|---|---|
Cash | $ 20,000 | |
Accounts receivable | 325,000 | |
Inventory-materials | 100,000 | |
Inventory-finished goods | 400,000 | |
Land | 200,000 | |
Building | 1,100,000 | |
Trucks | 45,000 | |
Equipment | 200,000 | |
Liabilities | Book Value | Secured by |
Accounts payable | $ 800,000 | |
Bank loan | 275,000 | 80% of receivables |
Wages payable | 140,000 | |
Taxes payable | 75,000 | |
Truck loan | 70,000 | Trucks with $30,000 estimated realizable value |
Mortgage payable | 600,000 | Land and building |
Loan payable | 450,000 | Finished goods |
Note payable | 750,000 |
All of the wages payable have priority.
Required
Prepare a statement of affairs.
Note: Do not use a negative sign in your answers.
Dellwood Corporation Statement of Affairs September 30, 2017 | ||
---|---|---|
Estimated Realizable Value | Free Assets | |
Assets pledged to fully-secured creditors: | ||
Land and building | Answer | |
Less: Liabilities to fully-secured creditors | Answer | Answer |
Assets pledged to partially-secured creditors: | ||
Accounts recievable | Answer | |
Inventory - finished goods | Answer | |
Truck | Answer | |
Answer | ||
Free assets: | ||
Cash | Answer | |
Accounts receivable | Answer | |
Inventory materials | Answer | |
Trucks | Answer | |
Equipment | Answer | Answer |
Total free assets | Answer | |
Less: Unsecured liabilities with priority | Answer | |
Net free assets | Answer | |
Estimated deficiency to unsecured creditors | Answer | |
Total unsecured liabilities | Answer |
Creditors' Claims | Unsecured Liabilities | |
---|---|---|
Fully-secured creditors: | ||
Mortgage payable | Answer | |
Partially-secured creditors: | ||
Bank Loan | Answer | |
Loan payable | Answer | |
Truck Loan | Answer | |
Answer | ||
Less: Value of pledged assets | Answer | Answer |
Unsecured creditors with priority: | ||
Wages payable | Answer | |
Taxes payable | Answer | |
Answer | ||
Unsecured creditors: | ||
Account payable | Answer | |
Note payable | Answer | Answer |
Total unsecured liabilities | Answer |
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