Chapter 13, Problem 33P

A statement of financial affairs created for an insolvent corporation that is beginning the process of liquidation discloses the following data (assets are shown at net realizable values):

Assets pledged with fully secured creditors . . . . . . . . . . . . . . . . . . .	$220,000
Fully secured liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	160,000
Assets pledged with partially secured creditors . . . . . . . . . . . . . . .	390,000
Partially secured liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	510,000
Assets not pledged . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	310,000
Unsecured liabilities with priority . . . . . . . . . . . . . . . . . . . . . . . . . . . .	182,800
Accounts payable (unsecured) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .	400,000

1. a. This company owes $13,000 to an unsecured creditor (without priority). How much money can this creditor expect to collect?
2. b. This company owes $120,000 to a bank on a note payable that is secured by a security interest attached to property with an estimated net realizable value of $90,000. How much money can this bank expect to collect?