Creditors of Jones Corporation are considering petitioning the
courts to force the company into Chapter 7 bankruptcy. The
following information has been determined. Administrative expenses
in connection with the liquidation are estimated to be $33,000.
Book
Value
Net
Realizable
Value
Cash
$
17,000
$
17,000
Accounts receivable
43,000
29,000
Inventory
56,000
42,000
Supplies
14,000
0
Investments
13,000
19,000
Land
71,000
83,000
Buildings
101,000
79,000
Equipment
61,000
46,000
Notes payable (secured by land)
76,000
Notes payable (secured by buildings)
100,000
Bonds...