Problem 21A-17 Sunland Inc. leased a new crane to Culver Construction under a 5-year, non-cancelable contract starting January 1, 2017. Terms of the lease require payments of $45,000 each January 1, starting January 1, 2017. The crane has an estimated life of 7 years, a fair value of $220,000, and a cost to Sunland of $220,000. The estimated fair value of the crane is expected to be $40,000 (unguaranteed) at the end of the lease term. No bargain purchase or renewal options are included in the contract, and it is not a specialized asset. Both Sunland and Culver adjust and close books annually at December 31 Collectibility of the lease payments is probable Culver's incremental borrowing rate is 10%, and Sunland's implicit interest rate of 10% is known to Culver Click here to view factor tables or You can also refer to the below given table