Based on past experience with a client, an auditor determined performance materiality for current assets should be calculated at 1/4 of total materiality (7% of total current assets) and noncurrent assets should be calculated at 1/3 of total materiality (4% of total noncurrent assets). Calculate performance materiality for current assets based on the following:

Cash and cash equivalents	$900,000
Land	200,000
Accounts receivable	150,000
Prepaids	150,000
Building	400,000
Fixtures and equipment	500,000
Inventory	100,000
Leasehold improvements	100,000

$16,000

$13,000

$21,000

$22,750