Voldemort Company used leases as a method of selling products. The entity completed construction of a passenger yacht. On January $1,2024,$ the yacht was leased to Super Yacht on a contract specifying that ownership of the yacht shall transfer to Super Yacht at the end of lease period.

Original cost of yacht $8,000,000$

Fair value of yacht at lease date $25,000,000$

Initial direct cost $750,000$

Lease payments in advance starting January $1,20243,000,000$

Unguaranteed residual value $2,000,000$

Implicit interest rate $12\%$

Lease term $20$ years

Round the present value to two decimal places

$-$ What is the amount that should be reported as total financial revenue?

a$.34,990,000$

b$.34,880,000$

c$.34,890,000$

d$.$ None of the above

$-$ What is the amount that should be reported as Sales and Cost of Goods Sold, respectively?

a$.25,000,000$; $8,550,000$

b$.25,110,000$; $8,750,000$

c$.25,000,000$; $8,550,000$

d$.$ None of the above

$-$What is the amount of Lease Receivable on January $1,2025?$

a$.28,123,200$

b$.31,890,000$

c$.25,123,200$

d$.$ None of the above