7.

Manufacturers Southern leased high-tech electronic equipment from Edison Leasing on January 1, 2018. Edison purchased the equipment from International Machines at a cost of $127,650. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Related Information: 2 years (8 quarterly periods) $16, 800 at the beginning of each period 2 years $127,650 63 Lease term Quarterly rental payments Economic fe of asset Fair value of asset Implicit interest rate (Also lessee's incremental borrowing rate] Required Prepare a lease amortization schedule and appropriate entries for Manufacturers Southern from the beginning of the lease through January 1, 2019. Depreciation is recorded at the end of each fiscal year (December 31) on a straight-line basis. Complete this question by entering your answers in the tabs below Amort General Schedule Journal Prepare a lease amortization schedule for the term of the lease for Manufacturers Southern. (Enter all amounts as positive values.) Lease Payment Date Payments Effective Decrease in Lease Balance Interest Balance 01/01/2018 04/01/2018 07/01/2018 10/01/2018 01/01/2019 04/01/2019 07/01/2019 10/01/2019 Total Record the beginning of the lease for Manufacturers Southern 1 2 Record lease payment. 3 Record lease payment. Record lease payment. 4 5 Record lease payment. 6 Record accrued interest. 7 Record the amortization for right-of-use asset by Manufacturers Southern