XYZ Industries 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 $2,000,000. The depreciation for the equipment, all of which was purchased at the same time the plant was constructed, is calculated using declining-balance at 10%. Complete the Balance Sheet below.

XYZ Industries Balance Sheet (as of June 30, 2016) Assets Liabilities and Owners! Equity Current Assets Current Liabilities Cash Accounts Receivable Securities Inventories Prepaid Expenses Total Current Assets 1,950,000 950,000 4,100,000 1,800,000 100,000 Accounts Payable Notes Payable Accrued Expense Total Current Liabilities 1,060,000 190,000 850,000 2,100,000 Long-Term Assets Long-Term Liabilities Mortgage Long Term Debt Total Long-Term Liabilities 600,000 600,000 1,200,000 550,000 Land Building and Plant 5,000,000 Less accumulated depreciation Owners' Equity (Net Worth) Preferred Shares 2,000,000 Equipment Common Shares 3,500,000 800,000 Less accumulated depreciation Retained Earnings Total Owners' Equity Total Long-Term Assets Total Liabilities and Owners Equity Total Assets Income Statement for XYZ Industries (July 1, 2015 - June 30, 2016) Expenses Revenues Sales Cost of Goods Sold Gross Profit 9,500,000 4,950,000 4.550,000 Operating Expenses Depreciation Expense Interest Expense Total Expenses 924,006 180,994 350,000 1,455,000 Net Income Before Taxes Income Taxes (26.5%) Net Income After Taxes 3.095,000 820,175 2.274,825