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Pls ANSWER only if 100% SURE Thumbs Up for right answer (DO provide FORMULAS in EXCEL) Spector Inc., a private company that follows ASPE, entered

Pls ANSWER only if 100% SURE

Thumbs Up for right answer

(DO provide FORMULAS in EXCEL)

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Spector Inc., a private company that follows ASPE, entered into a lease agreement with Global Leasing Corporation to lease a warehouse for six years. Annual lease payments are $21,000, payable at the beginning of each lease year. Spector Inc. signed the lease agreement on January 1, 2022, and made the first payment on that date. At the end of the lease, the machine will revert back to Global Leasing Corporation. The normal useful life of the warehouse is 10 years. At the time of the lease, the warehouse could be purchased for $108,000. Spector does not know the implicit rate of the lease; Spector's incremental borrowing rate is 10%. Spector uses straight-line depreciation for this type of asset. Required: a. Using the three criteria under ASPE, prove whether this is an operating or capital lease. b. Prepare a lease amortization schedule for the lease. Round all amounts to the nearest dollar. c. Prepare the journal entries for 2022 and 2023 for Spector Inc. Round amounts to the nearest dollar

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