1. 11.

Market values and book values [LO 2.1] Leo Limited Inc. purchased new cloaking machinery three years ago for $6 million. The machinery can be sold to the Northfolks today for $5.1 million. Leo's current statement of financial position shows net non-current assets of $3.4 million, current liabilities of $895 000 and net working capital of

$235 000. If the current assets and current liabilities were liquidated today, the company would receive a total of $1.15 million cash. What is the book value of Leo's total assets today? What is the sum of the market value of NWC and the market value of non-current assets?