PV of Annuity of $1 Required: Refer to the table above for present value factors. 1. Assume that the lease is treated as an operating lease. a. Will the value of the forklift appear on Koffman's balance sheet? b. What account will indicate that lease payments have been made? Feedoack V Check My Work right to use the property as an asset or to record the obligation for payments as a liability. 2. Assume that the lease is treated as a capital lease or finance lease. a. Identify and analyze the effect when the lease is signed. Activity Investing and Financing Accounts Leased Asset Increase, Lease Obligation Increase Statement(s) How does this entry affect the accounting equation? whole dollar. Explain why the value of the leased asset is not recorded at $6,112($1,5284). The leased asset should be reported at the of the payments which is $ not at $ Feedback 7Check My Work Partially correct b. Identify and analyze the effect of the first lease payment on December 31,2017. How does this entry affect the accounting equation? whole dollar. Feedoack 7 Check My Work incorrect c. Calculate the amount of depreciation expense for the year 2017 . Round answer to the nearest whole dollar. d. At what amount would the lease obligation be presented on the balance sheet as of December 31,2017 ? Round answers to the nearest whole dollar. Current liability portion Long-term liability portion