On June 30, 2021, Georgia-Atlantic, Inc. leased a warehouse equipment from IC Leasing Corporation. The lease agreement calls for Georgia-Atlantic to make semiannual lease payments of $648,358 over a four-year lease term, payable each June 30 and December 31, with the first payment at June 30, 2021. Georgia-Atlantic's incremental borrowing rate is 10%, the same rate IC uses to calculate lease payment amounts. Amortization is recorded on a straight-line basis at the end of each fiscal year. The fair value of the equipment is $4.4 million. (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.) Required: 1. Determine the present value of the lease payments at June 30, 2021 that Georgia-Atlantic uses to record the right-of-use asset and lease liability. 2. What pretax amounts related to the lease would Georgia-Atlantic report in its balance sheet at December 31, 2021? 3. What pretax amounts related to the lease would Georgia-Atlantic report in its income statement for the year ended December 31, 2021? (For all requirements, enter your answers in whole dollars and not in millions. Round your final answers to the nearest whole dollar.) 1. $ 4,400,000 2. Present value Pretax amount for liability Pretax amount for right-of-use asset Pretax amount for interest expense Pretax amount for amortization expense 3. $ 187,582 TABLE 6 Present Value of an Annuity Due of $1 PVAD = (1+1)" X (1+i) i wi 1.0% 1.5% 2.0% 2.5% 3.0% 4.0% 4.5% 5.0% 5.5% 6.0% 7.0% 8.0% 9.0% 1 1.00000 1.00000 1.00000 1.00000 1.00000 3.5% 1.00000 1.96618 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 1.00000 1.91743 1.98522 1.98039 1.97561 1.97087 1.96154 1.95694 1.95238 1.94340 1.93458 1.92593 1.94787 2.84632 10.0% 11.0% 12.0% 20.0% 1.00000 1.00000 1.00000 1.00000 1.90909 1.90090 1.89286 1.83333 2.73554 2.71252 2.69005 2.52778 3.48685 3.44371 3.40183 3.10648 4.16987 4.10245 4.03735 3.58873 2.95588 2.94156 2.92742 2.91347 2.89969 2.88609 2.87267 2.85941 2.83339 2.80802 2.78326 2 1.99010 3 2.97040 4 3.94099 5 4.90197 2.75911 3.91220 3.88388 3.85602 3.82861 3.80164 3.77509 3.74896 3.72325 3.69793 3.67301 3.62432 3.57710 3.53129 4.85438 4.80773 4.76197 4.71710 4.67308 4.62990 4.58753 4.54595 4.50515 4.46511 4.38721 4.31213 4.23972 6 5.85343 5.78264 5.71346 5.64583 5.57971 5.51505 5.45182 5.38998 5.32948 5.27028 5.21236 5.10020 4.99271 4.88965 4.79079 4.69590 4.60478 4.60478 3.99061 7 6.79548 6.69719 6.60143 6.50813 6.41719 6.32855 6.24214 6.15787 6.07569 5.99553 5.91732 5.76654 5.62288 5.48592 8 7.72819 7.59821 7.47199 7.34939 7.23028 7.11454 7.00205 6.89270 6.78637 6.68297 6.58238 6.38929 6.03295 6.20637 6.74664 5.35526 5.23054 5.11141 5.11141 4.32551 5.86842 5.71220 5.56376 4.60459 6.33493 6.14612 5.96764 4.83716 6.75902 6.53705 6.32825 5.03097 98.65168 8.48593 8.32548 8.17014 8.01969 7.73274 7.59589 7.46321 7.33457 7.20979 6.97130 6.53482 7.87396 8.60769 10 9.56602 9.36052 9.16224 8.97087 8.78611 8.43533 8.26879 8.10782 7.95220 7.80169 7.51523 7.24689 6.99525 8.02358 7.71008 7.41766 7.14457 6.88923 6.88923 6.65022 6.650225.19247 7.49506 7.20652 6.93770 5.32706 8.49867 11 10.47130 10.22218 9.98259 9.75206 9.53020 9.31661 9.11090 8.91272 8.72173 8.53763 8.36009 12 11.36763 11.07112 10.78685 10.51421 10.25262 10.00155 9.76048 9.52892 9.30641 9.09254 8.88687 13 12.25508 11.90751 11.57534 11.25776 10.95400 10.66333 10.38507 10.11858 9.86325 9.61852 9.38384 14 13.13374 12.73153 12.34837 11.98318 11.63496 11.30274 10.98565 10.68285 10.39357 10.11708 9.85268 15 14.00370 13.54338 13.10625 12.69091 12.29607 11.92052 11.56312 11.22283 10.89864 10.58965 10.29498 8.94269 7.81369 7.49236 7.19437 5.43922 8.13896 7.80519 8.53608 8.16073 8.90378 8.48690 9.24424 8.78615 9.35765 8.10336 7.74987 7.42355 5.53268 8.366697.98187 7.62817 5.61057 9.74547 9.06069 9.31256 16 14.86505 14.34323 13.84926 13.38138 12.93794 12.51741 12.11839 11.73955 11.37966 11.03758 10.71225 10.10791 9.55948 17 15.71787 15.13126 14.57771 14.05500 13.56110 13.09412 12.65230 12.23402 11.83777 11.46216 11.10590 10.44665 9.85137 18 16.56225 15.90765 15.29187 14.71220 14.16612 13.65132 13.16567 12.70719 12.27407 11.86461 11.47726 10.76322 10.12164 1917.39827 16.67256 15.99203 15.35336 14.75351 14.18968 13.65930 13.15999 12.68959 12.24607 11.82760 11.05909 10.37189 20 18.22601 17.42617 16.67846 15.97889 15.32380 14.70984 14.13394 13.59329 13.08532 12.60765 12.15812 11.33560 10.60360 8.60608 8.19087 7.81086 5.67547 8.82371 8.37916 7.97399 5.72956 9.02155 8.54879 8.11963 5.77463 9.54363 9.75563 9.20141 8.70162 8.24967 5.81219 9.95011 9.36492 8.83929 8.36578 5.84350