On January 1, 2021, Blossom Corporation signed a 5-year noncancelable lease for equipment. The terms of the lease called for Blossom to make annual payments of $198.000 at the beginning of each year for 5 years beginning on January 1, 2021 with the title passing to Blossom at the end of this period. The equipment has an estimated useful life of 7 years and no salvage value. Blossom uses the straight-line method of depreciation for all of its fixed assets. Blossom accordingly accounts for this lease transaction as a finance lease. The lease payments were determined to have a present value of $825,633 at an effective interest rate of 10% In 2021, Blossom should record interest expense of Select one: o a. $115,437. b. 562,763. c. $82,563. d. $135,237