Refer to the following lease amortization schedule. The 10 payments are made annually starting with the beginning of the lease. Title does not transfer to the lessee and there is no purchase option or guaranteed residual value. The asset has an expected economic life of 12 years. The lease is noncancelable. 2. What is the effective annual interest rate? a) 12%. b) 11%. c) 10%. d) 9%. 3. What amount would the lessee record as annual amortization on the right-of-use asset using the straight-line method? a) $10,000. b) $6,392. c) 56,328 . d) 55,328 What would be the outstanding balance after payment 10 ? a) $10,000. b) $8,929. c) $2,028. d) $0. 5. What is the total effective interest paid over the term of the lease? a) $36,718. b) 553,282 . c) $63,282. d) $100,000. 6. What is the outstanding balance after payment 9 ? a) $5,000 b) $5,537, c) $8,929. d) $13,463