Salvador Industries bought land and built its plant 20 years ago. The depreciation on the building is calculated using the straight-line method, with a life of 30 years and a salvage value of $48,000. Land is not depreciated. The depreciation for the equipment, all of which was purchased at the same time the plant was constructed is calculated using declining balance at 15 percent. Salvador currently has two outstanding loans. one for $42,000 due December 31,2020 and another one for which the next payment is due in four years. During April 2020 , there was a flood in the building because a nearby river overflowed its banks after unusually heavy rains. Pumping out the water and cleaning up the basement and the firsdt floor of the building took a week. Manufacturing was suspended during this period and some inventory was damaged. Due to inadequate insurance, this unusual and unexpected event cost the company $104,000, net.

Complete the balance sheer and income statement.

Current assets Cash Salvador Industries Balance Sheet as of June 30, 2020 Accounts receivable Inventories Prepaid services Total Current Assets Long-term assets Building Assets Less accumulated depreciation Equipment Less accumulated depreciation Land Total Long-Term Assets Total assets EA 192,000 $ 356,000 2,830,000 490,000 Current Liabilities Liabilities and Owners' Equity 2,004,000 162,000 5352000 530,000