Wildhorse Co. leased equipment to Union Co. on July 1, 2021, and properly recorded the sales-type lease at $134000, the present value of the lease payments discounted at 10%. The first of eight annual lease payments of $20100 due at the beginning of each year of the lease term was received and recorded on July 3, 2021. Wildhorse had purchased the equipment for $119000. What amount of interest revenue from the lease should Wildhorse report in its 2021 income statement?

$5695

$6700

$5950

$0