On January 1, 2021, National Insulation Corporation (NIC) leased equipment from United 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 NIC. Portions of the United Leasing's lease amortization schedule appear below: (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.) Payments Jan. 1 2021 2021 2022 2023 2024 2025 2026 35,000 35,000 35,000 35,000 35,000 35,000 Effective Decrease in Outstanding Interest Balance Balance 335, 073 35,000 300,073 30,007 4,993 295,080 29,508 5,492 289,588 28,959 6,041 283,547 28,355 6,645 276,902 27,690 7,310 269,592 2038 2039 2040 2041 35,000 35,000 35,000 49,117 12,059 9,765 7,241 4,465 22,941 25, 235 27,759 44,652 97,646 72,411 44,652 Required: 1. What is the lease term in years? 2. What is the asset's residual value expected at the end of the lease term? (Round your answers to nearest whole dollar.) 3. What is the effective annual interest rate? (Round your percentage answer to 1 decimal place.) 4. What is the total amount of lease payments for United? (Round your answers to nearest whole dollar.) 5. What is the total amount of lease payments for NIC? (Round your answers to nearest whole dollar.) 6. What is United's net investment at the beginning of the lease (after the first payment)? (Round your answers to nearest whole dollar.) 7. What is United's total effective interest revenue recorded over the term of the lease? (Round your answers to nearest whole dollar.) 8. What amount would NIC record as a right-of-use asset at the beginning of the lease? (Round your answers to nearest whole dallal