Sunland Company, as lessee, enters into a lease agreement on July 1,2021 , for equipment. The following data are relevant to the lease agreement: 1. The term of the noncancelable lease is 4 years, with no renewal option. Payments of $869,371 are due on July 1 of each year. 2. The fair value of the equipment on July 1,2021 is $3,070,000. The equipment has an economic life of 6 years with no salvage value. 3. Sunland depreciates similar machinery it owns on the sum-of-the-years'-digits basis. 4. The lessee pays all executory costs. 5. Sunland's incremental borrowing rate is 10% per year. The lessee is aware that the lessor used an implicit rate of 9% in computing the lease payments. Click here to view factor tables. automatically indented when amount is entered. Do not indent manually. Round present value factor colculations to 5 decimal places, eg. 1.25124 and the final answer to 0 decimal places e., 5,250. 1. July 1,2021 2. December 31, 2021 3. July 1,2022 4. December 31, 2022 Sunland Company, as lessee, enters into a lease agreement on July 1,2021 , for equipment. The following data are relevant to the lease agreement: 1. The term of the noncancelable lease is 4 years, with no renewal option. Payments of $869,371 are due on July 1 of each year. 2. The fair value of the equipment on July 1,2021 is $3,070,000. The equipment has an economic life of 6 years with no salvage value. 3. Sunland depreciates similar machinery it owns on the sum-of-the-years'-digits basis. 4. The lessee pays all executory costs. 5. Sunland's incremental borrowing rate is 10% per year. The lessee is aware that the lessor used an implicit rate of 9% in computing the lease payments. Click here to view factor tables. automatically indented when amount is entered. Do not indent manually. Round present value factor colculations to 5 decimal places, eg. 1.25124 and the final answer to 0 decimal places e., 5,250. 1. July 1,2021 2. December 31, 2021 3. July 1,2022 4. December 31, 2022