On January 1, Fox Co signed a 7-year lease for equipment having a 10 year economic life. The present value of the monthly lease payments equals 80% of the equipment's fair value. The lease agreement provides for neither a transfer of title to Fox nor a bargain purchase option. In the income statement during the year of the lease, Fox will report: Question 3 options: Amortization Expense Lease Expense Interest Expense Amortization and Interest Expense,