Recording Entries for Sales-Type Lease: Lease Payment Calculation A lessor entered into a 5-year lease appropriately classified as a sales-type lease. The cost of the underlying asset was $96,000 and the fair value of the asset was $120,000. The lease included a purchase option that allowed the lessee to purchase the underlying asset for $12,000 at the end of the lease. Because of the discount offered in the purchase option from the expected residual value of $16,800, the lessor is reasonably certain that the lessee will exercise the purchase option. The first lease payment will be made immediately, with annual payments due throughout the lease term. Note: Round each answer to the nearest whole dollar. a. Assuming that the lessor had a desired rate of return of 6%, compute the annual lease payment. $ 0 b. Assume the same facts (original scenario) except that the exercise of the option is not reasonably certain. Compute the annual lease payment. $ 0 c. Assume the same facts (original scenario) except that lessor's desired rate of return is 8%. Compute the annual lease payment. $ 0 d. Assume the same facts (original scenario) except that the lease allows the ownership of the leased asset to revert to the lessee at lease end. Compute the annual lease payment. $ 0