Wilson Foods Corporation leased a commercial food processor on September 30, 2011. The five-year lease agreement calls for Wilson to make quarterly lease payments of $195,774, payable each September 30, December 31, March 31, June 30, with the first payment at September 30, 2011. Wilson's incremental borrowing rate is 12%. Wilson records depreciation on a straight-line basis at the end of each fiscal year. Wilson recorded the lease as follows:

Required:
What would be the pretax amounts related to the lease that Wilson would report in its statement of cash flows for the year ended December 31,2011?

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september 30, 2011 Leased equipment (calculated below). 3,000,000 Lease payable (calculated below) 3,000,000 Lease payable 195,774 Cash (rental payment) 195,774