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How much is the estimated payment to liabilities with priority?

How much is the estimated payment to liabilities with priority?

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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How much is the estimated payment to liabilities with priority?
ABC Company is in a capital deficiency position and is considering the possibility of liquidation. An analysis of the assets and liabilities of the entity is provided: Assets at net realizable value (pledged P250,000 against liabilities of P150,000) Assets at net realizable value (pledged 100,000 against liabilities of P260,000) Assets at net realizable value (not 160,000 pledged against any liabilities) Liabilities with priority 85,000 Unsecured creditors 400,000 Round off the estimated recovery percentage to XX.XX%, if needed. How much is the estimated payment to liabilities with priority?
Transcribed Image Text:ABC Company is in a capital deficiency position and is considering the possibility of liquidation. An analysis of the assets and liabilities of the entity is provided: Assets at net realizable value (pledged P250,000 against liabilities of P150,000) Assets at net realizable value (pledged 100,000 against liabilities of P260,000) Assets at net realizable value (not 160,000 pledged against any liabilities) Liabilities with priority 85,000 Unsecured creditors 400,000 Round off the estimated recovery percentage to XX.XX%, if needed. How much is the estimated payment to liabilities with priority?
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