Question 21 4 pts Use the following to answer Questions #20 and #21 (Chapter 21) On January 1, 2020, Chicken, Inc. signs a 7-year noncancelable lease agreement for a standard grade storage building from Spring Company. Collectibility of lease payments is reasonably predictable and no important uncertainties surround the amount of costs yet to be incurred by the lessor. The following information pertains to this lease agreement. (a) The agreement requires equal rental payments of $787,803 on January 1st of each year beginning on January 1, 2020; (b)The fair value of the building on January 1, 2020, is $5,000,000 and the book value to Spring is $4,100,000: (c) The building has an economic life of 10 years with no residual value. Chicken depreciates similar buildings on the straight-line method; (d) At the termination of the lease, control of the building reverts to Spring; (e) Chicken's incremental borrowing rate is 9% and Spring's implicit rate is 8% - Chicken is aware of Spring's implicit rate. Under the newly effective U.S. GAAP standard, what amount should be reported as Right of Use on Chicken's December 31, 2020, balance sheet? $4,285,714 $3,641,919 $3,796,904 $3,933,272