Gandolfi Construction Co. purchased a used CAT 336DL earth mover at a cost of $525,000 in January 2013. The company's estimated useful life of this heavy equipment is 10 years, and the estimated salvage value is $95,000. Assume that Gandolfi Construction Co. calculated depreciation expense for the CAT 336DL earth mover on the straight-line method and reported $632,000 of net income for the year ended December 31, 2013. The company's average total assets for 2013 were $4,000,000