Refer to the following lease amortization schedule. The five payments are made annually starting with the beginning of the lease. A $1,500 purchase option is reasonably certain to be exercised at the end of the five-year lease. The asset has an expected economic life of eight years. Lease Cash Effective Decrease in Outstanding Payment Payment Interest Balance Balance 40,860 31,960 24,978 17,577 9,731 1 12 2 3 345u 6 8,900 8,900 8,900 8,900 8,900 1,500 Multiple Choice $46,000. ?? 1,918 1,499 1,055 What is the total interest paid over the term of the lease? $2,760. ?? 85 ?? 6,982 7,401 7,845 ?? 1,415 ?? 0

Refer to the following lease amortization schedule. The five payments are made annually starting with the beginning of the lease. A$1,500 purchase option is reasonably certain to be exercised at the end of the five-year lease. The asset has an expected economic life of eight years. What is the total interest paid over the term of the lease? Mutple Choice $46.000 52.760