Carla Vista Corp. is a manufacturer of truck trailers. On January 1, 2021, Carla Vista Corp. leases 9 trailers to Metlock Company under a 7-year noncancelable lease agreement. The following information about the lease and the trailers is provided:

1.		Equal annual payments that are due on January 1 each year provide Carla Vista Corp. with an 11% return on net investment.
2.		Titles to the trailers pass to Metlock at the end of the lease.
3.		The fair value of each trailer is $50,200. The cost of each trailer to Carla Vista Corp. is $47,700. Each trailer has an expected useful life of nine years.
4.		Collectibility of the lease payments is probable. Calculate the annual lease payment