Exercise 15-26 (Algo) Lease concepts; finance/sales-type leases; guaranteed and unguaranteed residual value (LO15-2, 15-6] Each of the four independent situations below describes a sales-type lease in which annual lease payments of $145,000 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.) 1 6 11% Situation 2 3 6 7 10% 12% 4 7 12% Lease term (years) Lessor's and lessee's interest rate Residual value: Estimated fair value Guaranteed by lessee 0 0 $59,000 0 $8,900 $8,900 $59,000 $69,000 Determine the following amounts at the beginning of the lease: (Round your intermediate and final answer to the nearest whole dollar amount.) X Answer is complete but not entirely correct. Situation 1 2 3 4 A The lessor's: 1. Total lease payments $ 870,000 $ 870,000 $ 1,015,000 $ 1,015,000 2. Gross investment in the lease 870,000 929,000 1,023,900 1,084,000 3. Net investment in the lease 680,905 727,968 749,206 799,055 X B The lessee's: 870,000 870,000 Total lease payments 5. Right-of-use asset 6. Lease liability 680,905 680,905 694,664 694,664 1,015,000 745,180 745,180 X 1,084,000 X 772,366 X 772,366 X