e. None of above. yabi 18. On January 1, 2020, Commonwealth Inc. leases equipment to Tap Inc. The equipment has a fair value of $100,000, a carrying value of $80,000, an economic life of four years, and a lease term of three years. Commonwealth's implicit rate of the lease is 10% and there is a purchase option at the end of the lease of $10,000 that is reasonably expected to be executed by Tap at that time. The annual lease payment is $33,809.39, with the first payment due immediately on January 1, 2020. Commonwealth's initial measurement of lease receivable is $100,000. The gross profit and interest revenue recognized for 2020 by Commonwealth Inc. are (round to the nearest dollar) Gross profit Interest revenue a. $20,000 $6,619 b. $20,000 $10,000 c. $0 $10,000 d. $0 $0 19. Dockside Inc. entered into a 5-year lease and recorded a right-of-use asset and lease liability of $264,000 on December 31, 2020. Dockside Inc. was aware of the lessor's implicit rate of interest of 5%. The equipment under lease had an estimated 5-year useful life with no residual value. The first lease payment of $58,074 was due upon commencement of the lease (i.e., 12/31/2020). The current portion of lease liability reported on December 31, 2021 is (round to the nearest dollar) a. 58,074 b. 158,148 c. 47,778 d. $50,167 e. None of above