On January 2, 2021, Wildhorse Leasing Company leases equipment to Foley Co. with 5 equal annual payments of $157000 each, payable beginning January 2, 2021. Foley Co. agrees to guarantee the $97000 residual value of the asset at the end of the lease term. The expected value of the residual is $0. Foleys incremental borrowing rate is 11%, however it knows that Wildhorses implicit interest rate is 9%. The journal entry Wildhorse makes at January 2, 2021 includes a debit to right-of-use asset for?

	PV Annuity Due	PV Ordinary Annuity	PV Single Sum
9%, 5 periods	4.23972	3.88965	0.64993
11%, 5 periods	4.10245	3.69590	0.59345

$728679

$1021928

$701649

$723201