On January 2, 2016, Bailey Company purchased land that cost $860,000, a building on the land that cost $1,150,000, and equipment that cost $36,000. The building has an estimated useful life of 23 years. The equipment has an estimated useful life of 9 years. Required: Prepare the property, plant, and equipment section of the balance sheet as of December 31, 2016. Note: Use straight-line depreciation with no salvage value.