Bird leased equipment that had a retail cash selling price of $1,200,000 and a useful life of five years with no residual value. The lessor paid $1,060,000 to acquire the equipment and used an implicit rate of 8% when calculating annual lease payments of $278,284 beginning January 1, at the beginning of the lease. Incremental costs of negotiating and consummating the completed lease transaction incurred by the lessor were $30,000. What is the effect of the lease on the lessor's earnings during the first year (ignore taxes)? (Round your answer to the nearest whole dollar amount.)

a.		$164,839
b		$171,242
c		$178,625
d		$183,737