Warrior Inc. leased a commercial generator from Portland Inc. on January 1, 2021 under a 2-year operating lease. Quarterly payments of $21,000 are due at the beginning of each quarter with the first payment due on January 1, 2021. Portland purchased the generator from Magnum Corp. at a cost of $256,000, which is also its fair value. The economic life of the generator is 5 years and the interest rate implicit in the lease is 8%. Warrior records amortization every quarter.

Question: What is the amount that Warrior Inc. should record for the right-of-use asset? (The present value of an annuity due is 7.47199 for n = 8 and i = 2%)

A.	$156,912
B.	$90,555
C.	$256,000
D.	$168,000