On December 31, 2020, Reagan Inc. signed a lease with Silver Leasing Co. for some equipment having a seven-year useful life. The lease payments are made by Reagan annually, beginning at signing date. Title does not transfer to the lessee, so the equipment will be returned to the lessor on December 31.2026. There is no purchase option, and Reagan guarantees a residual value to the lessor on termination of the lease. Silver's lease amortization schedule appears below. Decrease in Balance Dec. 31 Payments Interest 2020 2020 $76,800 2021 $76,800 $20,709 2022 $ 76,800 17.344 2023 $76,000 13,776 2024 576.800 2,995 2025 $76,000 5,987 2026 $30,700 1,730 $76,800 56,091 59,456 63,024 66,005 70,813 28,962 Outstanding Balance $421,952 345,152 289,061 229,605 166,581 99,776 20,962 0 What is the amount of residual value guaranteed by Reagan to the lesson? Multiple Choice