2 Present Value of $1 TABLE 6 Present Value of an Annuity Due of $1 PVAD=[t1(1+i)n1](1+i) TABLE 4 Present Value of an Ordinary Annuity of $1 PVA=i1(1+i)1 Date Account Titlks and Explanation Debit Credit (To record lease liability) (To record lease payment) Carla Vista Corporation leases equipment from Falls Company on January 1. 2025. The lease agreement does not transfer ownership, contain a bargain purchase option, and is not a specialized asset. It covers 3 years of the equipment's 8-year useful life, and the present value of the lease payments is less than 90% of the fair value of the asset leased. The annual lease payment is $31,000 at the beginning of each year, and Carla Vista's incremental borrowing rate is 8%, which is the same as the lessor's implicit rate. Prepare all the necessary journal entries for Falls Company (the lessor) for 2025, assuming the equipment is carried at a cost of \$192,000. (List all debit entries before credit entries. Credit account tities are outomatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the occount tities and enter O for the amounts. Record journol entries in the order presented in the problem.)