On January 1, 2006, Solitaire Company Leased Equipment for 7

On January 1, 2006, Solitaire Company leased equipment for 7 years. The lease required an annual payment of $25,000 each for the first 4 years and an annual payment of $15,000 each for the remaining years. The lease agreement required Solitaire Company to pay $5,000 as annual insurance premium. On December 31, 2006, Solitaire Company paid $3,800 for repairs. Which of the following amounts was recorded as the rental revenue by the lessor at the end of Year 5?

A) $15,000
B) $25,000
C) $20,000
D) $18,800