HW 25 Koffman and Sons signed a four-year lease for a forklift on January 1, 2017. Annual ese peyments of $1,436, hesed on an interest rate of 12%, are to be made every December 31, beginning with December 31, 2017, PV of Anuty of $1 Required Refer to the table above for present val fact 1. Assume that the lease is treated an an operating lesse a. Will the value of the fork appear on Kaffman's belance sheet b. What account will indicate the payments have been made? 2. Assume that the lease is treated a capital lease or finance lease a. Identify and analyze the effect when the lease is signed Activity Accounts How does the entry affect the accounting If a financial attemere tem affcta, et "No Entry and leave At Walance Sheet amount be ark. If the affect an a financial statement tan is negative, ie, a decrease, be sure fer the answer with em sign. Round answers is t Stockholders Equity Explain why the value of the eased at not recorded at $5,744 (1,4364). The leased asset should be reported at the Merify and analyse the fact of the first Activity payment on December 31, 2017 Act Income Statement Expenses Net How does this entry affect the accounting un affected, select "Ne Entry and leave the amount bos bank. If the effect on a financial statement tem is negative, e, a decrease, be sure to enter the answer with a minus sign Round answers to the Stockholders Equity Carculate the amount of depreciation expense for the year 2017. Round answer to the nearest whole dollar. d. At what aunt would the ass alligation be presented on the balance sheet as of December 31, 20177 Round answers to the nearest whole dotar Cument Sability porti Long-tarm by pr Owld My Work Income Statement Net Income Previous Next