2. On 1 July 20*1, Big Products Ltd leased a computer from Easi-Comp Ltd (fair value $2,216,500) for five years with annual lease payments in advance of $513,500 (including S13,500 for maintenance and insurance charges). The estimated useful life of the computer is six years. The lease contract requires Big Products Ltd to guarantee a residual value of $500,000 which is the estimated fair value at the expiration of the lease. The interest rate implicit in the lease is 14% per annum. The computer was manufactured by Easi-Comp Ltd at a cost of $ 1.2m. Required: (a) Assuming Easi-Comp Ltd complies with IFRS 16, provide the journal entries required for the years ended 30 June 20*2 and 20*3. (b) Provide the journal entry Easi-Comp Ltd would make at 30 June 20*6. (c) Assuming Big Products Ltd capitalizes the lease, give the journal entries it would make for the years ended 30 June 20*2 and 20*3. 2. On 1 July 20*1, Big Products Ltd leased a computer from Easi-Comp Ltd (fair value $2,216,500) for five years with annual lease payments in advance of $513,500 (including S13,500 for maintenance and insurance charges). The estimated useful life of the computer is six years. The lease contract requires Big Products Ltd to guarantee a residual value of $500,000 which is the estimated fair value at the expiration of the lease. The interest rate implicit in the lease is 14% per annum. The computer was manufactured by Easi-Comp Ltd at a cost of $ 1.2m. Required: (a) Assuming Easi-Comp Ltd complies with IFRS 16, provide the journal entries required for the years ended 30 June 20*2 and 20*3. (b) Provide the journal entry Easi-Comp Ltd would make at 30 June 20*6. (c) Assuming Big Products Ltd capitalizes the lease, give the journal entries it would make for the years ended 30 June 20*2 and 20*3