Running Treadmills Inc.is a treadmill manufacturer that sells the extreme climber for $ 4500,which includes a 24 month warranty. while not widely not advertised, RTI customers can purchase the treadmill without the warranty for$4000. RTI also offers the warranty on a stand alone basis tp its customers and those who purchased the treadmill at non RTI outlets on a stand alone basis for $1000.

RTI follows IFRS and allocates revenues to the component parts using the realative fair value mrthod. its policy is to recognize revenue from thr sale of warranties on a straight line basis over the life of the warranty.

Assume that an extreme climber is sold on january 1 20x8 for $4500. RTI is year end is december 31. what is the total revenue reported by Running Treadmills in the month of january for this sale?