Elton Electronics leases testing equipment to Startup Corporation. The equipment is not specialized and is delivered on January 1, 2019 The fale value of the equipment is $123,000. The cost of the equipment to Elton is $118.000 and the expected life of the testing equipment is 8 years. Elton Incurs initial direct costs of $10,000, which they elect to expense. The lease term for the equipment is 8 years, with the first payment due upon delivery and seven subsequent annual payments beginning on December 31, 2019 and ending on December 31, 2025. Elton's implicit rate is 9% and they expect that collection of the $15.000 lease payments is probable What is the principal balance in the Net Investment in Lease-Sale Type account at the commencement of the lease? O A. $67.288 OB. 5118,000 OC. $90,494 OD. $75 494 Northern Equipment leases cooling towers to Warmup Corporation. The equipment is not specialized and is delivered on January 1, 2019. The fair value of the equipment is $180,000. The cost of the equipment to Northern is $170,000 and the expected life of the testing equipment is 8 years. At the end of the useful life, it is expected that the equipment will have a residual value of $20,000, although the lessee guarantees only $15,000 Northern incurs initial direct costs of $20,000, which they elect to expense. The lease term for the equipment is 8 years, with the first payment due upon delivery, and seven subsequent annual payments beginning on December 31, 2019 and ending on December 31, 2025. Northern's implicitrate is 8% and they expect that collection of the $23,000 payments is probable. The lease is properly classified as a sales-type lease. What is the amount of the lease receivable? (Round any present value calculations to the nearest dollar, and round any percentages two decimal places, XXX%) O A $140,476 OB. $180,000 OC. 5172272 OD. 5167 728