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I Just need help solving the last part of the problem, thank you. Ace Leasing acquires equipment and leases it to customers under long-term sales-type

I Just need help solving the last part of the problem, thank you.image text in transcribed

Ace Leasing acquires equipment and leases it to customers under long-term sales-type leases. Ace earns interest under these arrangements at a 7% annual rate. Ace leased a machine it purchased for $630,000 under an arrangement that specified annual payments beginning at the commencement of the lease for four years. The lessee had the option to purchase the machine at the end of the lease term for $130,000 when it was expected to have a residual value of $190,000. (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.) Calculate the amount of the annual lease payments. (Enter amounts as positive values rounded to the nearest whole dollar.) Answer is complete but not entirely correct. Purchase Option Table or calculator function: PV of $1 4 7% Present Value $ Amount to be recovered (fair value) Purchase option Amount to be recovered through periodic lease payments 630,000 99,176 $ 530,824 Lease Payment Table or calculator function: PVAD of $1 n = 4 7% Lease Payments 156,714 X Amount of fair value recovered each lease payment

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