The company has presented the following proposal: - The reorganization value of the companys assets pnor to issuing additional shares mentioned iater in the proposal, seling the company's investment and conveying titte to the land is set at $730,000 based on discounted future cash flows - Accounts recelvable of $44,000 are wnten off as uncollectible Investments are worth $64,000, land is worth $104,000, the buldings are worth $324,000, and the equipment is worth $98,000 - An outside investor has been found to buy 5,000 shares of common stock at $16 per share. - The company's investments are to be sold for $64,000 in cash with the proceeds going to the holders of the current note payable. The remainder of these short-term notes will be convented into $142.000 of notes due in 2024 that pay 9 percent annual cash interest - All accounts payable will be exchanged for $52000 in notes payoble due in 2021 that pay 7 percent annual cash interest - Title to land costing $32000 but worth $62000 wil be transferred to the hoiders of the note payable due in 2023 , in addition these creditors will recelve $185,000 in notes payable (payting 9 percent annual interest) coming due in 2027. These creditors aiso are issued 1,000 shares of previously unissued common stock. Becket retains the remainder of its land. Prepaie journal entries for Becket to fecord the transactions as put forth in this reorganization plan. (ir no entry is required for a trensaction/event, select "No journol entry requiled" in the first account fleld. Do not round intermediate calculations. Round your. answers to the nearest dollor amount.) The company has presented the following proposal: - The reorganization value of the companys assets pnor to issuing additional shares mentioned iater in the proposal, seling the company's investment and conveying titte to the land is set at $730,000 based on discounted future cash flows - Accounts recelvable of $44,000 are wnten off as uncollectible Investments are worth $64,000, land is worth $104,000, the buldings are worth $324,000, and the equipment is worth $98,000 - An outside investor has been found to buy 5,000 shares of common stock at $16 per share. - The company's investments are to be sold for $64,000 in cash with the proceeds going to the holders of the current note payable. The remainder of these short-term notes will be convented into $142.000 of notes due in 2024 that pay 9 percent annual cash interest - All accounts payable will be exchanged for $52000 in notes payoble due in 2021 that pay 7 percent annual cash interest - Title to land costing $32000 but worth $62000 wil be transferred to the hoiders of the note payable due in 2023 , in addition these creditors will recelve $185,000 in notes payable (payting 9 percent annual interest) coming due in 2027. These creditors aiso are issued 1,000 shares of previously unissued common stock. Becket retains the remainder of its land. Prepaie journal entries for Becket to fecord the transactions as put forth in this reorganization plan. (ir no entry is required for a trensaction/event, select "No journol entry requiled" in the first account fleld. Do not round intermediate calculations. Round your. answers to the nearest dollor amount.)
