The following facts pertain to a non-cancelable lease agreement between Alschuler Leasing Company and Windsor Electronics, a lessee, for a computer system.

Commencement date		October 1, 2020
Lease term		6	years
Economic life of leased equipment		6	years
Fair value of asset at October 1, 2020		$248,163
Book value of asset at October 1, 2020		$280,000
Residual value at end of lease term		0
Lessors implicit rate		10	%
Lessees incremental borrowing rate		10	%
Annual lease payment due at the beginning of
each year, beginning with October 1, 2020		$51,800

The collectibility of the lease payments is probable by the lessor. The asset will revert to the lessor at the end of the lease term. The straight-line depreciation method is used for all equipment. The following amortization schedule has been prepared correctly for use by both the lessor and the lessee in accounting for this lease. The lease is to be accounted for properly as a finance lease by the lessee and as a sales-type lease by the lessor.

Date		Lease Payment/Receipt		Interest (10%) on Unpaid Liability/Receivable		Reduction of Lease Liability/Receivable		Balance of Lease Liability/Receivable
10/01/20								$248,163
10/01/20		$51,800				$51,800		196,363
10/01/21		51,800		$19,636		32,164		164,199
10/01/22		51,800		16,420		35,380		128,819
10/01/23		51,800		12,882		38,918		89,901
10/01/24		51,800		8,990		42,810		47,091
10/01/25		51,800		4,709		47,091		0
		$310,800		$62,637		$248,163

(a)

New attempt is in progress. Some of the new entries may impact the last attempt grading.Your answer is partially correct.

Assuming the lessees accounting period ends on September 30, answer the following questions with respect to this lease agreement. (Round answers to 0 decimal places e.g. 58,971.) (1) What items and amounts will appear on the lessees income statement for the year ending September 30, 2021?

$
$

(2) What items and amounts will appear on the lessees balance sheet at September 30, 2021?

Balance Sheet (Partial) September 30, 2021For the Year Ended September 30, 2021For the Quarter Ended September 30, 2021
Current Liabilities:
			$
Long-term Liabilities:
			$
Non-current Assets:
			$

(3) What items and amounts will appear on the lessees income statement for the year ending September 30, 2022?

$
$

(4) What items and amounts will appear on the lessees balance sheet at September 30, 2022?

Balance Sheet (Partial) September 30, 2022For the Year Ended September 30, 2022For the Quarter Ended September 30, 2022
Current Liabilities:
			$
Long-term Liabilities:
			$
Non-current Assets:
			$