The Liabilities of Clare Company Are Listed Below Clare Company Liquidated Its Assets, Receiving $150,000 Cash

Multiple Choice

The liabilities of Clare Company are listed below: $\begin{array}{ll}\text { Accounts payable } & \$ 20,000 \\\text { First Mortgage bonds payable } & \$ 100,000 \\\text { Debentures payable } & \$ 80,000\end{array}$ Clare Company liquidated its assets, receiving $150,000 cash. The debenture holders will receive if the debentures are unsubordinated.

A) $50,000
B) $10,000
C) $40,000
D) $30,000