Oregon Corporation has filed a voluntary partition to reorganize under Chapter 11 of the Bankruptcy Reform Act . Its creditors are considering an attempt to force liquidation. The company currently holds cash of $ 6,000 and accounts receivable of $25,000, In addition the company owns four plots of land. The first two (labeled A and B) cost $8,000 each. Plots C and D cost the company $20000 and $25000, res[actively, A mortgage lien is attached to each parcel of land as security for four different notes payable of $ 15,000 each. Presently the lan can b sold for hte following:
Plot A $16000
Plot B $11000
Plot C $14000
Plot D $27000
Another $25,000 note payable is unsecured, Accounts payable at this time total $32,000 or this amount $12,000 is salary owned to company, worker. No employees is due more than $3400
Then company expects to collect $12000 from tha account receivable if liquidation becomes necessary. Adminisative expenses required for liquidation are anticipated to be $ 16,000
a. Prepare a statement of financial affairs for Oregon Corporation
b. If the company is liquidated, how much cash would be paid on the note payable aecured by plot B?
c. If the company is liquidated how much cash would be paid on the unsecured not payable?
d. If company is liquidated and plot is sold for $30,000, how much cash would be paid on the note payable secured by plot B?