Cleverley plc entered into a finance lease agreement on the following terms: Lease term 3 years Rentals annual in arrears 11,980 Economic life 6 years Commencement date 1 Jan 2023 Lessees financial year end 31 December Interest rate implicit in the lease 5% After 3 years, Cleverley plc has the option to continue leasing at a rent below market rent. It is not certain that Cleverley plc will exercise the option to extend the lease. Required 1. Prepare a schedule that shows the computation of the interest expense for each period. 2. Give the journal entries for Cleverley plcs books for the first two years of the lease. 3. Show how Cleverley plc would account for the above lease in accordance with IFRS, Leases in the Statement of profit or loss and other comprehensive income and the Statement of financial position for the years ending 31 December 2023 and 2024.