$\backslash$table$[[,$Situation$],[,7,7,8,124],[$Lease tern $($years$),94,11\%,104,],[$Residual value:,,,,$],[$Estimated fair value $($unguaranteed$),50,$$ $50,000,$$ $8,600,$$ $50,000],[$Guaranteed by lessee,$50,$$ $0,$$ $8,600,$$ $60,000]]$

Required:

For each situation, determine the following amounts at the beginning of the lease.

Note: Round your intermediate and final answers to the nearest whole dollar amount.

Answer is complete but not entirely correct.

$\backslash$table$[[,$Situation$],[1,2,3,4],[$A$.$ The lessor's:,$],[1.$ Lease payments,$ $700,000,$$ $700\mathrm{.}000-,$$ $800\mathrm{.}000(,$$ $800,000],[2.$ Gross irvestment in the lease,$700\mathrm{.}000(,750\mathrm{.}0000,808,000,850,000],[3.$ Net investment in the lease,$548\mathrm{.}5920,547,137$ O$,590\mathrm{.}5740,580,609],[$B$.$ The lessee's:,$],[4.$ Lease payments,$700,000,700,000,800,000,810,000],[5.$ Right$-$of$-$use asset,$548,592,523,0540,586,8420,580,690*],[6.$ Lease liability,$548,592,523,0540,586,8420,557,085*]]$

Each of the four independent situations below describes a sales$-$type lease in which annual lease payments of $$100,000$ are payable at the beginning of each year. Each is a finance lease for the lessee.

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)$

$\backslash$table$[[,$Situation$],[1,2,3,4],[$Lease term $($years$),7,7,8,8],[$Lessor$\text{'}$s and lessee's interest rate,$9\%,11\%,10\%,12\%],[$Residual value:,,,,$],[$Estimated fair value $($unguaranteed$),$$ $0,$$ $50,000,$$ $8,000,$$ $50,000],[$Guaranteed by lessee,$ $0,$$ $0,$$ $8,000,$$ $60,000]]$

Required:

For each situation, determine the following amounts at the beginning of the lease.

Note: Round your intermediate and final answers to the nearest whole dollar amount.

Answer is complete but not entirely correct.

$\backslash$table$[[,$Situation$],[1,2,3,4],[$A$.$ The lessor's:,$],[1.$ Lease payments,$ $700,000,$$ $700,000,$$ $800,000,$$ $800,000],[2.$ Gross investment in the lease,$700,000,750,000,808,000,860,000],[3.$ Net investment in the lease,$548,592,547,137,590,574,580,609],[$B$.$ The lessee's:,$],[4.$ Lease payments,$700,000,700,000,800,000,810,000],[5.$ Right$-$of$-$use asset,$548,592,523,054,586,842,556,370*],[6.$ Lease liability,$548,592,523,054,586,842,580,609*]]$