On June 30, 2018, Cullumber Co. sold equipment to an unaffiliated company for $2050000. The equipment had a book value of $1105000 and a remaining useful life of 10 years. That same day, Cullumber leased back the equipment at $12100 per month for 5 years with no option to renew the lease or repurchase the equipment. Cullumbers rent expense for this equipment for the year ended December 31, 2018, should be

A.) $72600.

B.) $290400.

C.)$121000.

D.) $96800.