Schedule 2:

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Schedule of safe payments
PP, Capital EE, Capital TT, Capital
Capital Balances 95,000 86,000 22,000
Possible loss on NCA (190,000) (31,667) (63,333) (95,000)
Cash retained (5,000) (833) (1,667) (2,500)
62,500 21,000 (75,500)
Possible insolvency of TT (25,167) (50,333) 75,500
37,333 (29,333)
(29,333) 29,333
Paymnet to partner(s) 8,000 -

PP, Capital EE, Capital

Cash Available 8,000
Less: Priority I (8,000) 8,000
- 8,000 -

Applied to
Loans -
Capital 8,000 -
- 8,000 -
 190,000
5,000

TT, Capital