The Atwater Company is facing possible liquidation. Using the following information, prepare a statement of financial affairs in good form. Here's the company's most recent balance sheet: Assets Liabilities and equities $12,000 Accounts payable Cash Accounts Receivable 60,000 Notes payable Inventory 120,000 Mortgage payable Investments 45,000 Equipment 105,000 Common stock Land 82,000 Retained earnings Total assets $424,000 Total Liab. and Eq's The mortgage payable is fully secured by the land. The land can be sold immediately for $102,000 The equipment partially secures the notes payable. The equipment is not in good shape and at auction will bring only $22,000 The market has declined so the investments have lost 30% of their value. It is estimated that 40% of the accounts receivable will have to be written off. The inventory is outdated and will bring only 50% of its book value at auction. Additional income taxes will be $15,000 Administrative expenses for bankruptcy are expected to total $22,000. $170,000 90,000 80,000 75,000 9,000 $424,000