Aeralia Company signs a lease on January 1, Year One, to lease a machine for eight years. Payments are $20,000 per year with the first payment made at the beginning of the year. The company has an incremental borrowing rate of 10 percent and the lease is considered as a capital lease. The present value of an annuity due of $1 for eight periods at an annual interest rate of 10 percent is $5.86842. Using present value, select the correct account of the capital lease. Select a Choice Below current question choices OptionA Debit Leased Liability for $20,000 and credit Lease Machine for $20,000 OptionB Debit Leased Machine for $20,000 and credit Lease Liability for $20,000 OptionC Debit Leased Machine for $117,368.40 and credit Lease Liability for $117,368.40 OptionD Debit Lease Liability for $117,368.40 and credit Leased Machine for $117,368.40