(Leases)}

Plymouthville leased equipment with a fair market value of $\$ 905,863$. The life of the noncancelable lease is 10 years and the economic life of the property is 10 years. Using an 8 percent interest rate, the present value of the minimum lease payments is $\$ 905,863$. The first payment of $\$ 125,000$ is due January 1 of the current year. Each additional payment is due on the first of January in the next 9 years. What is the amount of the asset to be recorded in Plymouthville's Capital Projects Fund? If no asset will be recorded, explain why.