nku.9 Each of the four independent situations below describes a finance lease in which annual lease payments are payable at the beginningof each year. The lessee is aware of the lessor's implicit rate of return.Note: Use tables, Excel, or a financial calculator. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1)Lease term (years)Lessor's rate of returnFair value of lease assetLessor's cost of lease assetResidual value:Estimated fair valueGuaranteed fair valueSituation 1Situation 2Situation 3Situation 4Lease Payments159%$ 62,000$ 62,000Residual ValueGuarantee002Situation810%$362,000$362,000$ 62,00001368%$ 87,000$ 57,000$ 19,000$ 19,000PV of Lease PV of ResidualPayments Value Guarantee4Required:a. & b. Determine the amount of the annual lease payments as calculated by the lessor and the amount the lessee would record as aright-of-use asset and a lease liability, for each of the above situations.Note: Round your answers to the nearest whole dollar amount.911%$ 477,000$ 477,000$ 31,000$36,000Right-of-useAsset/LeaseLiability27

An agreement of contract that is prepared to transfer the right to use the resources for a…

a. & b. Determine the amount of the annual lease payments as calculated by the lessor and the amount the lessee would record as a right-of-use asset and a lease liability, for each of the above situations. Note: Round your answers to the nearest whole dollar amount. Situation 1 Situation 2 Situation 3 Situation 4 Lease Payments Residual Value Guarantee PV of Lease Payments PV of Residual Value Guarantee Right-of-use Asset/Lease Liability