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Aflac Corporation leased machinery under a finance lease arrangement with its lessee. At January 1, 2021, the first day of the lease, the asset and

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Aflac Corporation leased machinery under a finance lease arrangement with its lessee. At January 1, 2021, the first day of the lease, the asset and lease obligation were recorded for $68,000. The first lease payment of $13,276 was due December 31, 2021 and the interest rate they used in their calculations was 7%. The lease term was 10 years. Which of the following best describes what would be reported on Allac's statement of income for the year ending December 31, 2021 Multiple Choice $4.760 interest expense $2.010 depreciation expense O $4.760 interest expense, 56,800 depreciation expense $4,760 interest expense, $5.472 depreciation expense $13,276 lease expense

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