Galloway Construction began a fourteen-year 4% lease on an excavator on January 1, 2019. The excavator has a list price of $420,000 and required a $50,000 down payment at the inception of the lease. Galloway Construction must make thirteen-equal payments of $37,053.18 on December 31 of each year. Which of the following was included in the journal entry that Galloway made to record the lease payment on December 31, 2020?

Select one:

a. Debit to lease liability for $23,143

b. Debit to lease liability for $21,063

c. Debit to interest expense for $15,990

d. Credit to interest expense for $13,910