Ayayai Equipment Leasing Company leased equipment to Wildhorse Healthcare Systems on January 1, 2025, for a four-year period. Equal annual payments under the lease are $450000 and are due by January 1 of each year. The first payment was made on January 1, 2025. The Ayayai Equipment Leasings implicit rate of interest, which is known to Wildhorse Healthcare, is 8%. Wildhorses incremental borrowing rate is 11%. The cost of the equipment on Ayayai Equipment Leasing accounting records was $870000. Assuming that the lease is appropriately recorded as an operating lease, what is the reduction to the carrying value of the Right-to-Use Asset account for Wildhorse Heatlhcare Systems at December 31, 2025?

	PV Annuity Due	PV Ordinary Annuity	PV Single Sum
8%, 4 periods	3.57710	3.31213	0.73503
11%, 4 periods	3.44371	3.10245	0.65873

$357224

$145000

$347727

$450000