CH16 HW 1 10 points ebook Hire Prirt References Question 1-CHIG HW-Connect save Problem 16-21 Financial statement effects of leases [LO 16-4] The Harris Company is the lessee on a four-year lease with the following payments at the end of each year: Year 1: $20,000 Year 2: $25,000 Year 3: $30,000 Year 4: $35,000 An appropriate discount rate is 7 percentage, yielding a present value of $91,718 a-1. If the lease is an operating lease, what will be the initial value of the right-of-use asset? Initial value of the right-of-use asset a-2. If the lease is an operating lease, what will be the initial value of the lease liability? Initial value of the lease liability Help Save & Ext Su Check my w CH16 HW Seved a-3. If the lease is an operating lease, what will be the lease expense shown on the income statement at the end of year 1? Lease expense eBook 4 Hint a-4. If the lease is an operating lease, what will be the interest expense shown on the income statement at the end of year 1? (Leave no cells blank - be certain to enter "0" wherever required.) Print Interest expense O References a-5. If the lease is an operating lease, what will be the amortization expense shown on the income statement at the end of year 1? (Leave no cells blank- be certain to enter "0" wherever required.) Amortization expense points Help Sa CH16 HW 1 10 points eBook Hint Print References Saved Help Save & C b-1. If the lease is a finance lease, what will be the initial value of the right-of-use asset? Initial value of the right-of-use asset b-2. If the lease is a finance lease, what will be the initial value of the lease liability? Initial value of the lease liability b-3. If the lease is a finance lease, what will be the lease expense shown on the income statement at the end of year 1? (Leave no cells blank - be certain to enter "0" wherever required.) Lease expense Lease expense eBook b-4. If the lease is a finance lease, what will be the interest expense shown on the income statement at the end of year 1? (Round your answer to the nearest dollar amount.) Het Interest expense Prod References b-5. If the lease is a finance lease, what will be the amortization expense shown on the income statement at the end of year 17 (Round your answer to the nearest dollar amount.) Amortization expense 10 points Mr