Refer to the following lease amortization schedule. The 10 payments are made annually starting with the beginning of the lease. Title does not transfer to the lessee and there is no purchase option or guaranteed residual value. The asset has a FMV at lease inception of $85,000 and an expected economic life of 12 years. The lease is noncancelable. Pmt # Cash XXX XXX XXX 63,282 1 10,000 ------ 10,000 53,282 2 10,000 6,394 3,606 49,676 3 10,000 5,961 4,039 45,638 4 10,000 5,477 4,523 41,114 5 10,000 4,934 5,066 36,048 6 10,000 4,326 5,674 30,373 7 10,000 3,645 6,355 24,018 18 10,000 2,882 7,118 16,901 9 10,000 ? ? ? 10 10,000 ? ? ? What amount would the lessee record as annual depreciation (amortization) on the leased (right- of-use) asset using the straight-line method? $5,328. $10,000. $6,328. $0. $6,392. What is the total expense that will be recorded over the life of the lease? 0 $136,718 $0 $36,718 $63,282 0 $100,000 Assume the lessee consistently applies the straight line depreciation method to any depreciable assets. What is the annual depreciation (amortization) expense to be recorded under the terms of the above lease? $0 $10,000 $6,328 0 0 0 0 $6,392 $5,328