On June 30, 2018, Cullumber Co. sold equipment to an unaffiliated company for $1450000. The equipment had a book value of $805000 and a remaining useful life of 10 years. That same day, Cullumber leased back the equipment at $10900 per month for 5 years with no option to renew the lease or repurchase the equipment. Cullumber's rent expense for this equipment for the year ended December 31, 2018, should be

On June 30, 2018, Cullumber Co. sold equipment to an unaffiliated company for $1450000. The equipment had a book value of $805000 and a remaining useful life of 10 years. That same day, Cullumber leased back the equipment at $10900 per month for 5 years with no option to renew the lease or repurchase the equipment. Cullumber's rent expense for this equipment for the year ended December 31, 2018, should be C) $65400. C) $87200. C) $109000. C) $261600