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20. Wilson Foods Corporation leased a commercial food processor on September 30,2016. The five-year lease...

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20. Wilson Foods Corporation leased a commercial food processor on September 30,2016. The five-year lease agreement calls for Wilson to make quarterly lease payments of $221,877, payable each September 30, December 31, March 31, June 30, with the first payment at September 30, 2016. Wilson's incremental bom wing rate is 12%. Wilso n records depreciation on a straight-line basis at the end ofeach fiscal year. Wilson recorded the lease as follows: September 30, 2016 Asset (calculated below) 3,400,000 Lease payable (caloulated below) 3,400,000 Lease payable 221,877 Cash (first payment) 221,877 Calculation of the present value of lease payments $221,877 x 15.32380 $3,400,000 (rounded) "Present value of an annuity due of SI:n 20, i 396 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, 2016? (Cash outflows should be indicated by a minus sign. Do not round your intermediate calculations. Enter your answers in whole dollars.) Where Reported in SCF Lease payments: Interest 2 3 4 5 6

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