consider $175,000 as lease payment

Each of the four independent situations below describes a sales-type lease in which annual lease payments of at the beginning of each year. Each is a finance lease for the lessee. (FV of $1, PV of $1, FVA of $1, PVA of $1, FV $1) (Use appropriate factor(s) from the tables provided.) 1 7 Situation 2 3 7 8 12% 11% N 4 8 11% 00 10% Lease term (years) Lessor's and lessee's interest rate Residual value: Estimated fair value Guaranteed by lessee $68,000 $9,800 $9,800 $68,000 $78,000 Determine the following amounts at the beginning of the lease: (Round your intermediate and final answer to dollar amount.) Determine the following amounts at the beginning of the lease. (Round your intermediate and final answers to the nearest whole dollar amount.) Situation 2 A The lossor's: 1. Lease payments 2. Gross investment in the lease 3. Net investment in the lease The lessee's 4. Lease payments 5. Right-of-use asset 6. Lease payable B