On January 1, 2010, Rayma Co

Multiple Choice

On January 1, 2010, Rayma Co.leased equipment by signing a five-year lease that required five payments of $30, 000 due on January 1 of each year with the first payment due January 1, 2010.The equipment remains the property of the lessor at the end of the lease and Rayma does not guarantee any residual value.Using a 10% cost of capital, Rayma capitalized the lease on January 1, 2010, in the amount of $125, 096.What is the amount of current portion of the lease liability Rayma should report on the December 31, 2011, balance sheet?

A) $ 7, 461
B) $20, 490
C) $22, 539
D) $30, 000