Problem #4: ABC Inc. bought land and built its plant 10 years ago. Land is not depreciated. The depreciation on the building and plant is calculated using the straight-line method, with a life of 20 years and a salvage value of $1,000,000. The depreciation for the equipment, all of which was purchased at the same time the plant was constructed, is calculated using declining-balance method with depreciation rate of 10%. Complete the Balance Sheet below and answer the following 4 Multiple-Choice questions. Cash ABC Industries Balance Sheet (as of June 30, 2017) Assets Liabilities and Owners' Equity Current Assets Current Liabilities 1,350,000 Accounts Payable Accounts Receivable 550,000 Notes Payable 100,000 Securities 1,100,000 Accrued Expense 771,696 Inventories 1,100,000 Total Current Liabilities Prepaid Expenses 1,000,000 Total Current Assets Long-Term Liabilities Mortgage 500,000 Long-Term Assets Long-Term Debt 1,700,000 Land 1,500,000 Total Long-Term Liabilities 2,200,000 Building and Plant 3,000,000 Less accumulated depreciation Owners' Equity (Net Worth) Preferred Shares 1,000,000 Equipment 2,500,000 Common Shares 3,500,000 Less accumulated depreciation Retained Earnings 1,500,000 Total Owners' Equity 6,000,000 Total Long-Term Assets Total Liabilities and Owners' Equity Total Assets