QUESTION 25 At the time it defaulted on its interest payments and filed for bankruptcy, PE Inc had the following balance sheet in millions of dollars. The court after trying unsuccessfully to reorganize the firm, decided that the only recourse was liquidation. Sale of the fixed assets have been pledged to 1st mortgage. Debentures are subordinated to Notes Payable Balance Sheet Assets Liabilities Current Assets 100 Fixed Assets 15 Accounts payable 30 Notes payable 20 Accrued wages (6 months) 9 Federal taxes state taxes 1st mortgage 2nd mortgage debentures sale of current assets were 30 million sale of fixed assets were 6 million Trustee fess were 20% Please set up the liquidation and determine the percentage that notes payable was paid in the end A. 45.89% 39.78% o C. 42.45% O D. 48.88% O E. 52.45%