On September 1, 2024, Custom Shirts Incorporated entered into a lease agreement appropriately classified as an operating lease. The lease term is three years. The annual payments by Custom Shirts are (a) $22,000 for year 1, (b) $26,000 for year 2, and (c) $30,000 for year 3. How much total lease expense will Custom Shirts recognize for 2024?

Note: Do not round intermediate calculations. Round your answer to the nearest whole dollar amount.

Multiple Choice

$7,333

$8,667

$22,000

$26,000