13. Accounting for Equipment Lease -Lessee& Lessor (Est. 12 points) t Leasing purchased a machine for $500,000 and leased it to IGA, Inc. on January 1, 2018 Lease description: Quarterly rental payments $32,629- beginning of each period Lease term No residual value; no BPO Economic life of machine Implicit interest rate and 5 years (20 quarters) 5 years lessee's incremental borrowing rate 12% $500,000 Fair value of asset Required Prepare appropri second rental payment on April 1, 2018. ate entry or entries below for both IGA and E Leasing from the inception of the lease through the Note: Amortization or depreciation is not recorded until the end of each fiscal year (December 31). Show your (a) IGA-Lessee April 1.2018