3 12.5 points questionf Each of the three independent situations below describes a finance lease in which annual lease payments are payable at the beginning of each year. The lessee is aware of the lessor's implicit rate of return (EV of $1. PV of $1. EVA of $1, PVA of $1. EVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Situation 1 2 3 Lease term (years) 10 20 5 Lessor's rate of return (known by lessee) 10% 8% 11% Lessee's incremental borrowing rate Fair value of lease asset 11% $610,000 99 $990,000 10% $195,000 Required: a. & b. Determine the amount of the annual lease payments as calculated by the lessor and the amount the lessee would record as a right-of-use asset and a lease liability, for each of the above situations. (Round your answers to the nearest whole dollar.) Answer is complete but not entirely correct. Lease Payments Right-of-use Asset/Lease Payable Situation 1 $ 99.275 610,000 Situation 21 $ 10,834 $ 990,000 Situation 3 S 52,761 S 195,000