On January 1, 20X4, Kangaroo Inc. (KI) entered into a lease agreement contract that entitled it to use equipment Details of the contract follow: $85,000 $3,000 Lease payment, including maintenance agreement Maintenance agreement included in lease payment Implicit rate in the lease (not known) Incremental borrowing rate 4% 5% Lease term 6 years Economic life of equipment Guaranteed residual value Expected pay out on residual value guarantee Option to purchase First annual payment due 7 years $20,000 $6,000 No Commencement date KI's year end is December 31 Kl elects to adopt the practical expedient available to it and not to separately report the lease and non-lease components in the contract What is the amount that it will record for depreciation of this right-of-use asset for its year ended December 31 20X4? la $77.988 b.$65,355 DC $73,582 d. $76,247