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Peridis Inc. has entered into a contract with an asset-based finance company to lease some...

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Accounting

Peridis Inc. has entered into a contract with an asset-based finance company to lease some equipment commencing January 1,20X1. The lease payments are $21,000 per year for 8 years, with payments commencing at the start of each lease year. At the end of the lease, Peridis guarantees to either (1) acquire the equipment from the lessor for $9,000 or (2) pay for the lessors cost of removing the equipment, which also is estimated at $9,000. Peridiss incremental borrowing rate for this amount and term is estimated to be 6% and the lessors implicit rate is unknown. Peridiss fiscal year ends on 31 December. (PV of $1, PVA of $1, and PVAD of $1.)(Use appropriate factor(s) from the tables provided.)
2. Prepare a liability amortization table for this lease for Peridis. (Do not round intermediate calculations and round final answers to the nearest whole dollar amount.)
Prepare a liability amortization table for this lease for Peridis. (Do not round intermediate calculations and round final answers to
the nearest whole dollar amount.)
PLEASE FOLLOW THE PICTURE PROVIDED FOR THE AMORITIZATION TABLE.
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