For each of the following five separate finance lease scenarios, determine the lease payment used to assess lease classification criterion number four, the present value of lease payments. Note: Round your answers to the nearest whole dollar.

a. Lease payments are $3,000 per month plus 5% of lessee net sales. Lessee sales for the first year are estimated to be $100,000

. ******* THE ANSWER IS NOT 41,000 Lease payment: $Answer

b. Lease payments are computed as the greater of (a) 5% of lessee net sales or (b) $3,000. Lessee sales for the first year are estimated to be $100,000. Lease payment: $Answer

c. Annual lease payments are 10% of lessee annual sales, with no fixed portion. Lessee sales for the first year are estimated to be $100,000. Lease payment: $Answer

d. Lease payments total $5,000 in Year 1 and increase each year based on the annual increase in the CPI at the end of the preceding year. The increase in CPI at the end of the current year is expected to be 2%. Lease payment: $Answer 5,000

e. In the lease contract, rent is specified as $60,000 for the first year and will increase each subsequent year by 2% over the prior year. Determine the lease payment for the second year. Lease payment: $Answer