I found three solutions answer to this problem on Chegg. However, number 3) 20 years and 4) 10% is correct. All three that I found on the check had various answers for 1,2,5,6, and they are wrong. Please do it correctly, thank you and appreciate your business.

On January 1, 2021, Majestic Mantles leased a lathe from Equipment Leasing under a finance lease. Lease payments are made annually. Title does not transfer to the lessee and there is no purchase option or guarantee of a residual value by Majestic Portions of the Equipment Leasing's lease amortization schedule appear below: Jan. 1 Payments Effective Decrease in Interest Balance 2021 2022 2023 20,000 20, 20,000 2e.ee 2e, eee 2e,eee 2e,680 2024 Outstanding Balance 187, 298 167, 298 164,028 160,431 156,474 152. 121 147.333 142.066 20, eee 3,270 3,597 3,957 4.353 4,788 5,267 16.730 16,403 16,043 15,647 15,212 14,733 2025 2026 2027 2038 2039 2840 20.ece 20, see 2e, eee 4,974 3,471 1.818 15,826 16,529 18.182 34,711 18,182 Required: 1. What is Majestic's lease liability after the first lease payment? 2. What amount would Majestic record as a right-of-use asset? 3. What is the lease term in years? 4. What is the effective annual interest rate? 5. What is the total amount of lease payments? 6. What is the total effective interest expense recorded over the term of the lease? 1. 2 3 4. 5. 6. Lease ability Right-of-use asset Lostorm Effective annual interest rate Total of lease payments Total effective interest expense