On January 1, 2023, Ivanhoe Corp., which uses IFRS, signs a 10-year, non-cancellable lease agreement to lease a specialty lathe from Liu Inc. The following information concerns the lease agreement. 1. 2. 3. 4. 5. 6. The agreement requires equal rental payments of $76,980 beginning on January 1, 2023. The lathe's fair value on January 1, 2023, is $500,000. The lathe has an estimated economic life of 12 years, with an unguaranteed residual value of $13,000. Ivanhoe depreciates similar equipment using the straight-line method. The lease is non-renewable. At the termination of the lease, the lathe reverts to the lessor. Ivanhoe's incremental borrowing rate is 10% per year. The lessor's implicit rate is not known by Ivanhoe. The yearly rental payment includes $3,004.82 of executory costs related to insurance on the lathe. Assume this is a manufacturer/dealer lease.

prepare an ammortization schedule.

On January 1, 2023. Ivanhoe Corp., which uses IFRS, signs a 10-year, non-cancellable lease agreement to lease a specialty lathe from Liu Inc. The following information concerns the lease agreement. 1. The agreement requires equal rental payments of $76,980 beginning on January 1,2023 . 2 The lathe's fair value on January 1,2023 , is $500,000. 3. The lathe has an estimated economic life of 12 years, with an unguaranteed residual value of $13,000. Ivanhoe depreciates similar equipment using the straight-line method. 4. The lease is non-renewable. At the termination of the lease, the lathe reverts to the lessor. 5. Ivanhoe's incremental borrowing rate is 10% per year. The iessor's implicit rate is not known by Ivanhoe. 6. The yearly rental payment includes $3,004.82 of executory costs related to insurance on the lathe