Balance Sheet
	2019	2020	2021
Asset
Current Asset
Cash	?	?	?
Accounts Receivable	120000	100000	150000
Prepaid Expenses	8000	5000	2000
Future Tax Asset	?	?	?
Long-term Asset
?
Total Assets
Liabilities
Current Liabilities
Accounts Payable	100000	80000	90000
Unearned Revenue	10000	8000	12000
Future Tax Liabilities	?	?	?
Long-term Liabilities
?
Total Liability
Shareholders' Equity
Retained Earnings	?	?	?
Common Equity	200000	200000	200000
Total Shareholders' Equity
Total Liability and Equity

Company A started at the beginning of 2019. They entered into a lease with Jan 1st as both inception and commencement date The Lease term is as below - 5 yr non-cancellable - 5% interest rate - equal payment of $22916.51 at the end of each year - $1,000 bargaining purchase option at the end of lease term The useful life of this asset is 6 years with 0 residual value

Tax rate 25%, 30% and 35% each of the year

Earnings before interest, amortization and taxes for each year 2019 $123,456 2020 $234,567 2021 $345,678

Required: a) Prepare an amortization table for the lease b) Record all related Journal entries c) Complete the balance sheet d) If instead of lease, company A pays $6,000/year rental to use the same equipment what impact would this make?