following lease amortization schedule. The 10 payments are made annually starting with the beginning of the lease. Title does not transfer to the lessee and there is no purchase option or guaranteed residual value. The asset has an expected economic life of 12 years. The lease is noncancelable. Effective Decrease in Outstanding Payment Cash Payment Interest balance Balance $ 71,908 1 $ 11,000 $ 11,000 60,908 2 11,000 6,700 4,300 56,608 3 11,000 6,227 4,773 51,835 4 11,000 5,702 5,298 46,537 5 11,000 5,119 5,881 40,656 6 11,000 4,472 6,528 34,128 7 11,000 3,754 7,246 26,882 8 11,000 $ 2,957 $ 8,043 $ 18,839 9 11,000 10 $ 11,000 ? ? ? ? ? 2 What amount would the lessee record as annual amortization on the right-of-use asset using the straight-line method? $7,255 $11,000 $6,091 $7,191