8. The Lessor Company leases equipment to Lessee Company on January 1 of Year 1. Terms of the equipment lease include the following: Lease term 6 years. Economic life of the asset = 6 years. Fair market value of the equipment = $750,000. Annual lease payment to be paid January 1 each year beginning Year 1. Unguaranteed residual value of the equipment = $75,000. Lessee's estimate of residual value = $50,000. Lessee's incremental borrowing rate = 11%. Lessor's implicit rate of return = 12%. Lessor's implicit rate of return is known to the Lessee. The six beginning-of-the-year lease payments would be a. 162,874 b. 154,623 c. 146,587 d. 125,000