I looked at the answer key, and it says the adjusting entry at year end for equipment depreciation is $3925000. I just need to know how to arrive at this number. I understand the rest of the problem.

P9-2A At December 31, 2017, Arnold Corporation reported the following plan Land $ 3,000,000 Buildings Less: Accumulated depreciation-buildings $26,500,000 11,925,000 14,575,000 Equipment 40,000,000 Less: Accumulated depreciation--equipment 5,000,000 35,000,000 $52,575,000 Total plant assets During 2018, the following selected cash transactions occurred. Apr. 1 Purchased land for $2,200,000. May 1 Sold equipment that cost $600,000 when purchased on January 1, 2011. The equipment was sold for $170,000. June 1 Sold land for $1,600,000. The land cost $1,000,000. July 1 Purchased equipment for $1,100,000. Dec. 31 Retired equipment that cost $700,000 when purchased on December 31, 2008. No salvage value was received. Instructions (a) Journalize the transactions. (Hint: You may wish to set up T-accounts, post beginning balances, and then post 2018 transactions.) Arnold uses straight-line depreciation for buildings and equipment. The buildings are estimated to have a 40-year useful life and no salvage value; the equipment is estimated to have a 10-year useful life and no sal- vage value. Update depreciation on assets disposed of at the time of sale or retirement. (b) Record adjusting entries for depreciation for 2018. (c) Prepare the plant assets section of Arnold's balance sheet at December 31, 2018 0 487