The University leases various copiers, printers, and buses from vendors for various departments. Terms of these leases expire in various years through 2026. The lease liabilities are reported at the net present value using the University's incremental borrowing rate or the discount rate as stated in the contract terms, if available. Lease assets and related accumulated amortization total $1,075,540 and $591,673 as of June 30, 2023, respectively.
Principal and interest on lease obligations for the three fiscal years as of June 30, 2023, are as follows:
Year Ending June 30, Payment Principal Interest
2024 $ 430,269 $ 416,678 $ 10,315
2025 81,598 80,851 931
2026 5,820 5,732 116
Total $ 517,687 $ 503,261 $ 11,362
The University has subscription contracts with various vendors for the right to use software. Terms of these contracts expire in various years through 2027. The subscription liabilities are reported at the net present value using the University's incremental borrowing rate or the discount rate as stated in the contract terms, if available. Subscription right to use assets and related accumulated amortization total $3,682,351 and $907,996 as of June 30, 2023, respectively.
Principal and interest on the contract obligations for the four fiscal years as of June 30, 2023, are as follows:
| Year Ending June 30, | Payment | Principal | Interest |
|---|---|---|---|
| 2024 | $ 1,200,818 | $ 1,065,215 | $ 135,603 |
| 2025 | 1,092,763 | 1,037,325 | 55,438 |
| 2026 | 421,878 | 452,962 | (31,084) |
| 2027 | 106,740 | 105,332 | 1,408 |
| Total | $ 2,822,199 | $ 2,660,834 | $ 161,365 |
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