20X1, Cole Company signed an eight-year noncancelable lease for a new machine, requiring $15,000 annual payments at the beginning of each year. has a useful life of 12 years, with no salvage value. Title passes to Cole at the lease expiration date. Cole use straight-line depreciation for all of its Aggregate lease payments have a present value on January 2, 20X1, of $108,000, based on an appropriate rate of interest. For 20X1, Cole should zation expense for the leased machine at

Choice

$9,000

$13,500

$15,000