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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, 2020,

Statement of Affairs

Dellwood Corporation is experiencing difficulty in paying its bills and is considering filing for bankruptcy. Current data as of September 30, 2020, show the following:

Assets Expected Realizable Value
Cash $ 20,000
Accounts receivable 300,000
Inventory-materials 90,000
Inventory-finished goods 400,000
Land 150,000
Building 1,000,000
Trucks 70,000
Equipment 200,000
Liabilities Book Value Secured by
Accounts payable $ 740,000
Bank loan 275,000 80% of receivables
Wages payable 160,000
Taxes payable 50,000
Truck loan 85,000 Trucks with $30,000 estimated realizable value
Mortgage payable 600,000 Land and building
Loan payable 480,000 Finished goods
Note payable 800,000

All of the wages payable have priority.

Required

Prepare a statement of affairs.

Note: Do not use a negative sign with your answers.

Dellwood Corporation Statement of Affairs September 30, 2020
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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