What amount is reported on a lessee's balance sheet at the start of a capital (finance) lease

Question:

What amount is reported on a lessee's at the start of a capital (finance) lease for a leased asset and the associated liability? Why do the amounts reported for the asset and liability differ for balance sheets prepared after the start of the lease?

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...