Annual Interest Rate=8%

Years=5

Payment Per Years=4

Amount=$40,000,000

Find the PMT and make an amortization schedule in Excel to help determine the balance of lease liability after the first full year.

Years:

12/31/00

3/31/2001

6/30/2001

9/30/2001

12/31/2001

3/31/2002

6/30/2002

9/30/2002

12/31/2002

3/31/2003

6/30/2003

9/30/2003

12/31/2003

3/31/2004

6/30/2004

9/30/2004

12/31/2004

3/31/2005

6/30/2005

9/30/2005