Leased Assets Koffman and Sons signed a four-year lease for a forklift on January 1, 2017. Annual lease payments of $1,303, based on an interest rate of 12%, are to be made every December 31, beginning with December 31, 2017.

a. Identify and analyze the effect when the lease is signed.

b. Identify and analyze the effect of the first lease payment on December 31, 2017.

c. Calculate the amount of depreciation expense for the year 2017. Round answer to the nearest whole dollar.

d. At what amount would the lease obligation be presented on the balance sheet as of December 31, 2017? Round answers to the nearest whole dollar