Your company is in financial trouble and is in the process of reorganization. Your manager wants to know how you will report on restructuring the debt. Use the following information to help with this assignment.

 

ASSETS
CURRENT ASSETS
Cash and cash equivalents				$108,340
Trade accounts receivable, net of allowances				2,866,260
Other receivables				62,150
Operating supplies, at lower of average
cost or market				58,630
Prepaid expenses				446,050
Total Current Assets				3,541,430
PROPERTY, PLANT AND EQUIPMENT (at cost)
Land				1,950,000
Buildings and improvements				2,327,410
Equipment				5,015,660
Other equipment and leasehold improvements				1,645,580
Total				10,938,650
Accumulated depreciation and amortization				-7,644,430
	Net Property, Plant, and Equipment			3,294,220
OTHER ASSETS
Deposits and other assets				1,000,080
TOTAL ASSETS				$7,835,730
LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIT)
CURRENT LIABILITIES
Accounts payable				$972,160
Accrued liabilities				2,071,270
Accrued claims costs				793,620
Federal and other income taxes				19,710
Deferred income taxes				500
Current maturities of long-term debt and
capital lease obligations				50,610
Short-term borrowings				249,250
Total Current Liabilities				4,157,120
LONG-TERM LIABILITIES
Capital lease obligation				54,580
Note Outstanding				3,000,000
Mortgage Outstanding				608,030
Other liabilities				95,860
Total Long-term Liabilities				3,758,470
Total Liabilities				7,915,590
SHAREHOLDERS' EQUITY (DEFICIT)
Common stock, $.01 par value; authorized
500,000 shares; issued 231,000 shares				2,310
Additional paid-in capital				731,090
Accumulated other comprehensive loss				-113,500
Retained earnings (deficit)				-639,180
Treasury stock				-60,580
Total Shareholders' Equity (Deficit)				-79,860
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY				$7,835,730