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Peridis Inc. has entered into a contract with an asset - based finance company to lease some equipment commencing January 1 , 2 0 X

Peridis Inc. has entered into a contract with an asset-based finance company to lease some equipment commencing January 1,20X1. The lease payments are $32,000 per year for 8 years, with payments commencing at the start of each lease year. At the end of the lease, Peridis guarantees to either (1) acquire the equipment from the lessor for $14,000 or (2) pay for the lessors cost of removing the equipment, which also is estimated at $14,000. Peridiss incremental borrowing rate for this amount and term is estimated to be 9% and the lessors implicit rate is unknown. Peridiss fiscal year ends on 31 December. (PV of $1, PVA of $1, and PVAD of $1.)(Use appropriate factor(s) from the tables provided.)
Required:
1. Determine the present value of the lease payments. (Do not round intermediate calculations and round final answer to the nearest whole dollar amount.)
2. Prepare a liability amortization table for this lease for Peridis. (Do not round intermediate calculations and round final answers to the nearest whole dollar amount.)
3. How much interest expense will Peridis report for each of 20X1 and 20X2?(Round your intermediate and final answers to the nearest whole dollar amount.)
4. Assume instead that the lease starts on 1 October 20X1. How much interest should the company record for each of 20X1 and 20X2?(Round your intermediate and final answers to the nearest whole dollar amount.)

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