Current Attempt in Progress Windsor Leasing Company signs an agreement on January 1, 2020, to lease equipment to Cole Company. The following information relates to this agreement. 1 The term of the non-cancelable lease is 6 years with no renewal option. The equipment has an estimated economic life of 6 years. 2 3. The cost of the asset to the lessor is $240,000. The fair value of the asset at January 1, 2020, is $240,000. The asset will revert to the lessor at the end of the lease term, at which time the asset is expected to have a residual value of $24,323, none of which is guaranteed. The agreement requires equal annual rental payments, beginning on January 1, 2020. Collectibility of the lease payments by Windsor is probable, 4. 5. Click here to view factor tables, * Your answer is incorrect. Assuring the lessor desires a 15% rate of return on its investment, calculate the amount of the annual rental payment required. (For calculation purposes, use 5 decimal places as displayed in the factor table provided and the final answer to decimal places eg. 5,275) Amount of the annual rental payment $ 45000 e Textbook and Media List of Accounts Prepare an amortization schedule that is suitable for the lessor for the lease term. (Round answers to 0 decimal places eg. 5,275.) WINDSOR LEASING COMPANY (Lessor) Lease Amortization Schedule Annual Lease Payment Plus URV Interest on Lease Receivable Recovery of Lease Receivable Lease Receivable O 0 SA 0 24000 45000 0 45000 195000 45000 15600 29400 165600 45000 13248 31752 133848 45000 10708 34292 99556 45000 7964 37036 62520 45000 5002 39998 22522 24323 1801 22522 294323 $ 54323 $ 240000 e Textbook and Media 0.3/1 late Account Titles and Explanation Debit Credit 20 v Lease Receivable 240000 Cost of Goods Sold Sales Revenge Equipment 240000 (To record the lease) Cash ILI DI CUI DOOT DON Lease Receivable (To record the receipt of lease payment) 720 Les Receivable Interest Raven Cash Lease Receivable 121 Lease Receivable Interest Reverse e Textbook and Media