On July $1,2023,$ Cullumber Corp., which uses IFRS, signs a $4-$year, non$-$cancellable lease agreement to lease a equipment from Crane Ltd$.$ The following information concerns the lease agreement$\mathrm{.}1.$ The equipment's fair value on July $1,2023$ is $$256,000\mathrm{.}2.$ The agreement requires equal rental payments of $$55,200\mathrm{.}00$ beginning on July $1,2023\mathrm{.}3.$ The equipment has an estimated economic life of $5$ years, with an unguaranteed residual value of $$76,800.$ Cullumber Corp.depreciates similar equipment using the straight$-$line method, with no residual value$\mathrm{.}4.$ The lease is non$-$renewable. At the termination of the lease, the equipment reverts to Crane$\mathrm{.}5.$ Cullumber's incremental borrowing rate is $5\%$ per year. The lessor's implicit rate is not known by Cullumber Corp$\mathrm{.}6.$ The yearly rental payment includes $$4,975\mathrm{.}04$ of executory costs related to insurance on the equipment. It is the company's policy to allocate executory costs between expense and prepaid amounts on the date of payment$\mathrm{.}7.$ Interest and depreciation expenses are based on the nearest full month.Click here to view the factor table PRESENT VALUE OF AN ANNUITY DUE.