Filipino Co. has been forced into bankruptcy and liquidated. Unsecured claims will be paid at the rate of P0.50 on the peso. Gold Co. holds a non-interest bearing note receivable from Filipino Co. in the amount of P50,000, collateralize by machinery with a liquidation value ofP10,000. The total amount to be realized by Gold on this note receivable is:

Filipino Co. has been forced into bankruptcy and liquidated. Unsecured claims will be paid at the rate of P0.50 on the peso. Gold Co. holds a non-interest bearing note receivable from Filipino Co. in the amount of P50,000, collateralize by machinery with a liquidation value ofP10,000. The total amount to be realized by Gold on this note receivable is:

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter11: Property Dispositions

Section: Chapter Questions

Problem 84TA

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