Perfect Enterprises filed a Chapter 7 bankruptcy petition.The trustee on the estate has performed all the work,and the trustee is now ready to distribute the assets of the estate.The only asset in the estate is cash of $144,000.The following are all the validly filed claims against the estate.How much would each creditor receive?
Trustee's fee $10,000
Attorney fees assisting trustee $6,000
Accountant fees assisting trustee $4,000
Unpaid wages of 5 employees of $1,200 each
for month prior to filing of petition $6,000
Federal tax obligations (specified in 11 U.S.C.
Section 350) $12,000
Unsecured creditors:
Johnson $20,000
Smith $30,000
Jones $30,000
Secured creditors:
Brown $80,000
(Brown's collateral was sold for $70,000,and is
part of the $144,000 mentioned above,thus Brown
has received no payment yet.)
How much will each creditor receive in the distribution?

Question

Perfect Enterprises filed a Chapter 7 bankruptcy petition.The trustee on the estate has performed all the work,and the trustee is now ready to distribute the assets of the estate.The only asset in the estate is cash of $144,000.The following are all the validly filed claims against the estate.How much would each creditor receive?
Trustee's fee	$10,000
Attorney fees assisting trustee	$6,000
Accountant fees assisting trustee	$4,000
Unpaid wages of 5 employees of $1,200 each
for month prior to filing of petition	$6,000
Federal tax obligations (specified in 11 U.S.C.
Section 350)	$12,000
Unsecured creditors: 
Johnson	$20,000
Smith	$30,000
Jones	$30,000
Secured creditors: 
Brown	$80,000
(Brown's collateral was sold for $70,000,and is
part of the $144,000 mentioned above,thus Brown
has received no payment yet.)
How much will each creditor receive in the distribution?

Quizplus · Accepted Answer

The Answer of Perfect Enterprises filed a Chapter 7 bankruptcy petition.The trustee on the estate has performed all the work,and the trustee is now ready to distribute the assets of the estate.The only asset in the estate is cash of $144,000.The following are all the validly filed claims against the estate.How much would each creditor receive?
Trustee's fee	$10,000
Attorney fees assisting trustee	$6,000
Accountant fees assisting trustee	$4,000
Unpaid wages of 5 employees of $1,200 each
for month prior to filing of petition	$6,000
Federal tax obligations (specified in 11 U.S.C.
Section 350)	$12,000
Unsecured creditors: 
Johnson	$20,000
Smith	$30,000
Jones	$30,000
Secured creditors: 
Brown	$80,000
(Brown's collateral was sold for $70,000,and is
part of the $144,000 mentioned above,thus Brown
has received no payment yet.)
How much will each creditor receive in the distribution?

Perfect Enterprises Filed a Chapter 7 Bankruptcy Petition