On June 1, 20X5, the books of Dremer Corporation show assets with book values and realizable values as follows:

Assets
		Realizable
	Book Value	Value
Cash	$ 1,850	$ 1,850
Accounts Receivable (net)	21,200	17,000
Note Receivable	15,000	15,000
Inventory	41,000	20,000
Investment in Calandir Stock	5,800	15,000
Land and Building (net)	98,500	92,800
Equipment (net)	43,000	8,000
Totals	$226,350	$169,650

Dremer's books show the following liabilities:

Liabilities
	Book Value
Accounts payable (50,000 secured by inventory
and equipment)	$ 90,625
Wages payable (eligible for priority)	3,775
Other Accrued Liabilities	10,000
Accrued interest on notes payable	375
Accrued interest on mortgage payable	600
Notes payable (secured by Investment in Calandir Stock)	10,000
Mortgage payable (secured by land and building)	70,000
Total	$185,375

Compute the estimated amount available to unsecured creditors (with or without priority):

Compute the estimated amount available to unsecured creditors without priority:

Compute the dividend to unsecured creditors without priority 

Compute the estimated payment to fully secured creditors:

Compute the estimated amount to partially secured creditors:

Compute the estimated amount to unsecured creditors with priority:

Compute the estimated amount to unsecured creditors without priority:

Compute the estimated payment to creditors:

Computed the estimated deficiency to unsecured creditors:

Compute the estimated loss or gain on realization of assets:

Compute the estimated net total loss:

Answer rating: 100% (QA)

i The estimated amount available to unsecured creditors is 169650 185375 15725 ii Unsecured creditors without priority Book value 226350 Realizable value 169650 Liabilities 185375 Unsecured creditors ... View the full answer