Question: please answer all parts Consider Failures Galore Inc using the following tables: *The subordinated debentures are subordinate to the bank notes payable. Assume that all




Consider Failures Galore Inc using the following tables: *The subordinated debentures are subordinate to the bank notes payable. Assume that all the accrued wages can be paid out of the liquidation proceeds. Distribution of the Proceeds from the Liquidation of Failures Galore. Inc. \( \begin{aligned} \text { Settlement percentage for general and unsecured creditors } & =\frac{\text { Funds available for gameral and }}{\text { Total clalms of seneral and un }} \\ \)\( & =\frac{1,720,000}{4,300,000}\end{aligned} \) a. If total liquidation proceeds are $3.655 million, what is the distribution of these proceeds among the various creditors of Failures Galore? Round your answers to the neareat doliar. Funds ava lable for preferred and common stockholders: $ b. If total liquidotion proceeds are \$4.085 million, what is the distribution of these proceeds among the various creditors of Failures Galore? Round your answers to the nearest dollar. Funds available for preferred and common stockholders: 5 Balance Sheet, Fallures Galore. Ine. bank notes payable. Assume that wages can be paid out of the liquidation proceeds. Distribution of the Proceeds from the Liquidation of Failures Galore., Inc. Tntal lineddatice. a. If total liquidation proceeds are $3.655 milion, what is the distribution of these proceods among the various creditors of Failures Galore 7 Round your answers to the nearest doliar Funds avaliable for preferred and common stockholders: 5 b. If total liquidation proceeds are $4.095 milion, what is the distribution of these proceeds ameng the varicus creditors of Fanses Galore? Round your answen to the nearest dollar. Funds avaliable for preferred and common steckholders: s
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
