PETRELLO COMPANY Balance Sheet January 1, 2014 Assets Cash 652,370 Receivables 768,310 Inventories 2,275,580 Plant and Equipment (net) # 4,689,510 Goodwill 198,750 Total Assets 8,584,520 Liabilities and Stockholders' Equity Liabilities 1,619,380 Common Stock Other Contributed Capital X... Retained Earnings 1,758,060 Total Liabilities and Stockholders' Equity # 8,584,520The balance sheets of Petrello Company and Sanchez Company as of January 1, 2014, are presented below. On that date, after an extended period of negotiation, the two companies agreed to merge. To effect the merger, Petrello Company is to exchange its unissued common stock for all the outstanding shares of Sanchez Company in the ratio of 1/2 share of Petrello for each share of Sanchez. Market values of the shares were agreed on as Petrello, $48; Sanchez, $24. The fair values of Sanchez Company's assets and liabilities are equal to their book values with the exception of plant and equipment, which has an estimated fair value of $670,340. Petrello Sanchez Cash $472,270 $180,100 Receivables 523,300 245,010 Inventories 2,023,900 251,680 Plant and equipment (net) 4,019,170 772,300 Total assets $7,038,640 $1,449,090 Current Liabilities $1,273,500 $345,880 Common stock ($16 par value) 3,628,680 800,000 Other contributed capital 378,400 -0- Retained earnings 1,758,060 303,210 Total equities $7,038,640 $1,449,090 Prepare a balance sheet for Petrello Company immediately after the merger. (List assets in order of liquidity.)