Oriote, Inc. leased equipment from Tower Company under a 4 year lease requiring equat annual payments of $254152 with the first payment due at lease inception. The lease does not transfer ownership, nor is there a bargain purchase option. The equipment has a 4-year useful life and no salvage value Oriole, Inc's incremental borrowing rate is 11% and the rate implicit in the lease (which is known by Oriole, Inc.) is 9% Orole, Inc uses the straight-line method to amortize similar assets. What is the amount of amortization expense recorded by Oriole, Inc. in the first year of the asset's life? PV. Annuity Due py Ordinary Annuity 3.53129 3.23972 94 periods 1184 periods 3,64371 3.10245 $205845 5224371 So because the asset is amortired by Oriol Company $218805