Assignment Questions: Q1. On January 1, 2017, XYZ Company signed an 10-year lease agreement for equipment. Annual payments are Ro.18,500 at the beginning of each year. At the end of the lease, the equipment will revert to the lessor. The equipment has a useful life of 8 years and has no residual value. At the time of the lease agreement, the equipment has a fair value of Ro.156,000. An interest rate of 14% and straight-line depreciation are used. Q2. Explain Income statement with example