On January 2, 2009, Novi Mining Co, (lessee) entered into a 5- -year lease for drilling equipment. Nori accounted for the acquisition as a capital lease for. $240,600, which includes a $30,000 bargain purchase “option. At the end of the Jease, Nori expects to exercise the bargain purchase option. Nori estimates that : the equipment’s. faviarlue will be $20,000 at the end of its 8-year life. Nori regularly uses straight-line “». depreciation on similar equipment. For the year ended December 31, 2009, what amount should Nori recognize as amortization expense on the right-of-use asset?

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