Bidwell Leasing purchased a single-engine plane for $400,000 and leased it to Red Baron Flying Club for its fair value of $645,526 on January 1, 2021. (FV 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.) Terms of the lease agreement and related facts were a. Eight annual payments of $110,000 beginning January 1, 2021, the beginning of the lease, and at each December 31 through 2027. Red Baron knows that Bidwell Leasing's implicit interest rate was 10%. The estimated useful life of the plane is eight years: Payments were calculated as follows: Amount to be recovered (fair value) Lease payments at the beginning of each of the next eight years: ($645,526 +5.86842") $645,526 $110,000 * Present value of an annuity due of $1: n = 8,1 = 10% b. Red Baron's incremental borrowing rate is 11%. c. Incremental costs of consummating the completed lease transaction incurred by Bidwell Leasing were $18,099 Required: "