oak co. leased equipment for its entire 9-year useful life, agreeing to pay $50,000 at the start of the lease term on december 31, 2004 and $50,000 annually on each december 31 for the next 8 years. the present value on december 31, 2004 of the nine lease payments over the lease term, using the rate implicit in the lease, which oak knows to be 10%, was $316,500. the december 31, 2004 present value of the lease payments using oak's incremental borrowing rate of 12% was $298,500. what amount should oak report as rou asset on its december 31