For the following lease, outlined below, determine the amount that the right-of-use (ROU) asset will be initially measured at assuming that the company does not elect to use the practical expedient available to it.

Annual payment (due at end of year)	$22,000
Lease term	5
Incremental borrowing rate	10%
Implicit rate (not readily determinable by lessee)	8%
Non-lease costs included in annual payment	5,000

Selected Answer:	83,397
Correct Answer:	64,443