QUESTION 15 On January 2, 2018, Gold Star Leasing Company leases equipment to Brick Co. with 5 equal annual payments of $160,000 each, payable beginning January 2, 2018. Brick Co. agrees to guarantee S150,000 for the residual value of the asset at the end of the lease term. The expected value of the residual value is $50,000. Brick's incremental borrowing rate is 10% however it knows that Gold Star's implicit interest rate is 8%. What is the balance of lease liability after the journal entry Brick Co. would make at January 2, 2018 to record the lease? PV Annuity Due pv Ordinary Annuity PV Single Sum 8%, 5 periods 431213 3.99271 .68508 10%, 5 periods 4.16986 3.79079 .62092 598,449 529.941 758,449 632.703 547.342