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Cost 10 Hecorded Help Save & Exit Submit Refer to the following tease amortization schedule. The 10 payments are made annually starting with the beginning of the lease. Title does not transfer to the lessee and there is no purchase option or guaranteed residual value. The asset has an expected economic life of 12 years. The sease is noncancelable. Cash Effective Decrease Outstanding Payment Payment Interest in balance Balance 101,456 1 14,000 14,000 87,456 2 14,000 6,996 7,004 80,452 3 14,000 6,436 7,564 72,888 4 14,800 5,831 8,169 64,719 5 14,000 5,178 8,822 55,897 6 14,000 41472 9,528 46,369 7 14,000 3,710 10,290 36,079 8 14,000 2,886 11, 114 24,965 9 14,000 ? 7 7 10 14,000 2 7 7 au WN What is the total effective interest paid over the term of the lease? What is the total effective interest paid over the term of the lease? Multiple Choice $38,543 $140,000 $87,456 $101456