A company leased a motor vehicle on 1 July 2021 for a period of two years. The contract contains a lease. Instalments of N$14 160 are payable in arrears on 30 June 2022 and 30 June 2023.

The present value of the lease instalments on 1 July 2021 is N$23 930 and the implicit interest rate is 12%.

Working to the nearest whole number, the lease liability will be disclosed on the statement of financial position at 30 June 2022 as a:

(Select one correct option only)