Carla Corporation enters into a 6-year lease of equipment on December 31, 2019, which requires 6 annual payments of $37,400 each, beginning December 31, 2019. In addition, Carla guarantees the lessor a residual value of $22,000 at the end of the lease. However, Carla believes it is probable that the expected residual value at the end of the lease term will be $11,000. The equipment has a useful life of 6 years. Prepare Carlas' December 31, 2019, journal entries assuming the implicit rate of the lease is 11% and this is known to Carla. (Credit account titles are automatically indented when amount is entered. Do not indent manually. For calculation purposes, use 5 decimal places as displayed in the factor table provided and round final answers to 0 decimal places e.g. 5,275.) Click here to view factor tables. Date Account Titles and Explanation Debit Credit December 31, 2019 Right-of-Use Asset 187388 Lease Liability 187388 (To record the lease liability) December 31, 2019 Lease Liability 37400 Cash 37400 (To record lease payment)