Anh www . A Chapters. BE15. Les assillation Cor Cod es A nton and has an of the How should with easily this en BE 15-5 Finance lease lessee income statement effects A lease agreement that qualities as a finance lease calls for annual lease payment of 125 200 e six-year lease term (also the assets useful life), with the first payment at January 1. Ove got the lease. The interest rate is 5% (FV of $1. PV of 51, EVA of $1. PVA 01.31. EVAD OLIVG PNAD of 51 (Use appropriate factor(s) from the tables provided.) Required: a. Determine the present value of the lease upon the lease's inception. b. Create a partial amortization through the first payment on January 1, 2017. c. If the lessee's fiscal year is the calendar year, what would be the pretax amounts related to the lease that the lessee would report in its income statement for the first year ended December 313 PVAD of $1 PV factors based on Table or Calculator Lease payment N= I= PV of Lease 5.0% Lease Payment Effective Interest Decrease in balance Outstanding balance Date 1/01/2016 -01/2016 1/2017|