People magazine sells annual subscriptions. The magazine subscription fees are collected in advance and had a balance of $ 5,000,000 on December 31, 2015. The magazine received $3,500,000 in cash from subscribers in year 2016. Also, magazine subscription revenue reached $6,000,000 in the same year. How much should People magazine report as the balance for magazine subscriptions collected in advance (i.e., unearned revenue) in its December 31, 2016 balance sheet?