On June 30, 2021, Hercule, Inc. leased warehouse equipment from Marble, Inc. The lease agreement calls for Hercule to make semiannual lease payments of $2,352,849 over a three-year lease term, payable each June 30 and December 31, with the first payment at June 30, 2021. Hercule's incremental borrowing rate is 14%, the same rate Marble used to calculate lease payment amounts. Marble manufactured the equipment at a cost of $11.0 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 price at which Marble is "selling the equipment (present value of the lease payments) at June 30, 2021. 2. What amounts related to the lease would Marble report in its balance sheet at December 31, 2021? (Ignore taxes.) 3. What would be the net effect of the lease that Marble would report in its income statement for the year ended December 31, 2021? (Ignore taxes.) (For all requirements, round your intermediate calculations and final answers to the nearest whole dollar amount.)