On 1-1-2021, Monticello Corporation (lessor) agrees to rent machinery to the Layton Company (lessee). It is a six (6) year noncancelable lease requiring Layton to pay Monticello $100,000 every 12-31 during the lease period (i.e., 2021-2026). The machinery has an expected residual value of $100,000 at the end of the lease (i.e., 12-31-2026). The machinery has an estimated economic life of 7 years with an expected residual value of $0 at the end of that time (i.e., 12-31-2027). The lessor's implicit rate is 9% per year; this rate is known to the lessee. This is a finance lease for Layton (lessee).

What would be the amortization expense for 2021 for Layton as a result of the lease ?

Group of answer choices

51,755

77,048

71,899

60,381

64,085

60,091

74,765

58,099

66,041

49,799

57,614

74,377