A Company leases equpiment from B Company on January 1, 2009. The 10 year noncancelable lease agreement requires that rental payments of $10,000 be made at the end of each year starting on December 31, 2009. The equpiment has a guaranteed residual value of $1,000 at the end of its 10 year economic life. The lease contract specifies that the equipment may be purchased for $5 at the end of the lease term (this amount is substaintially lower than the estimated fair market value of the asset on that date). At the inception of the lease, the fair market value of the leased asset is $56,000. The lessee's incremental borrowing rate is 12%, and the lessor's implicit rate is not known.
o Present value factor of $1, 10 periods, 12%: 0.3220
o Present value factor of an ordinary annuity, 10 periods, 12%: 5.6502
o Present value factor of an annuity due, 10 periods, 12%: 6.3283
What should be the value of the leased asset recorded by the lessee on January 1, 2009?