1 * How are U.S. GAAP and the International Financial Reporting Standards (IFRS) with respect to leases of land and buildings?

2 * On January 1, 2013, Salvatore Company rented several machines from Nola Corporation under a three-year operating lease agreement. The lease requires semi-annual payments of $ 15,000 each, payable on June 30 and December 31 of each year. The machines were acquired by Nola at a cost of $ 90,000 and are expected to have a useful life of 5 years with no expected residual value.

Request:

Prepare the appropriate journal entries for the landlord from the start of the lease until the end of 2013