Current Attempt in Progress On January 1, 2021, Sunland Corporation signed a five-year noncancelable lease for equipment. The terms of the lease called for Sunland to make annual payments of $210000 at the beginning of each year for 5 years with title passing to Sunland at the end of this period. The equipment has an estimated useful life of 7 years and no salvage value. Sunland uses the straight-line method of depreciation for all of its fixed assets. Sunland accordingly accounts for this lease transaction as a finance lease. The lease payments were determined to have a present value of $890341 at an effective interest rate of 9% With respect to this capitalized lease, for 2021 Sunland should record interest expense of $61231 and amortization expense of $127192. Interest expense of $94500 and amortization expense of $207322. Interest expense of $61231 and amortization expense of $178068. rent expense of $210000.