Each of the four independent situations below describes a sales-type lease in which annual lease payments of $120,000 are payable 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, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.)

Situation 2 Lease term (years) Lessor's and lessee'sinterest rate Residual value: 4 10 12% 10 11% 10% 12% Estimated fair value Guaranteed by lessee 0 $%54,000 $8,400 $54,0060 $8,400 $64,000 Determine the following amounts at the beginning of the lease (Round your intermediate and final answer to the nearest whole dollar amount.) Answer is complete but not entirely correct. Situation 2 4 A The lessor's: $ 1,080,000 1,134,000 828 $ 1 .200.000 1. Lease payments 2. Gross investment in the lease 3. Net investment in the lease 1,080,000 1,200,000 1,208,400 1,264,000 779,996 1,080,000, 737,534713 762,0957 B The lessee's 4. Lease payments . Right-of-use asset 6. Lease payable 1,080,000,080,0001,200,0001,200,000 759,390 779,996 759,390779,996 737,534 737,534 713,828 713,828