Two companies, Energen and Hastings Corporations, began operations with identical balance sheets. A year later, both required additional fixed assets...

Two companies, Energen and Hastings Corporations, began operations with identical balance sheets. A year later, both required additional fixed assets at a cost of $500,00. Energen obtained a 5-year, $50,000 loan at an 8% interest rate from its bank. Hastings, on the other hand, decided to lease the required $50,000 capacity for 5 years, and an 8% return was built into the lease. The balance sheet for each company, before the asset increases, follows: 
$150,000

a.