On January 1, 2025, Crane Corporation signed a five-year noncancelable lease for equipment. The terms of the lease called for Crane to make annual payments of $188000 at the beginning of each year for five years beginning on January 1, 2025 with the title passing to Crane at the end of this period. The equipment has an estimated useful life of 7 years and no salvage value. Crane uses the straight-line method of depreciation for all of its fixed assets. Crane accordingly accounts for this lease transaction as a finance lease. The lease payments were determined to have a present value of $771260 at an effective interest rate of 11%. In 2026, Crane should record interest expense of $64159. $71216. $43479. $50536