Current Attempt in Progress The following facts pertain to a non-cancelable lease agreement between Carla Vista Leasing and Tamarisk Group, a lessee (amounts in thousands). Commencement date May 1, 2022 Annual lease payment due at the beginning of each year, beginning with May 1, 2022 22,519.15 Bargain purchase option price at end of lease term 4,400 Lease term 5 years Economic life of leased equipment 10 years Lessor's cost 71,500 Fair value of asset at May 1, 2022 100,100 Lessor's implicit rate Lessee's incremental borrowing rate 8 % 8 % The collectibility of the lease payments by Carla Vista is probable. Click here to view factor tables. (For calculation purposes, use 5 decimal places as displayed in the factor table provided.)