On December 31, 2019, Sunland Company leased machinery from Terminator Corporation for an agreed upon lease term of 3 years. Sunland agreed to make annual lease payments of $20,500, beginning on December 31, 2019. The expected residual value of the machinery at the end of the lease term is $10,250, though Sunland does not guarantee any residual value to Terminator. What amount will Sunland record as its lease liability on December 31, 2019, if its incremental borrowing rate is 9% and the implicit rate of the lease is unknown? (For calculation purposes, use 5 decimal places as displayed in the factor table provided and round final answer to decimal places, eg. 5,275.) Click here to view factor tables. Lease liability $ $