Exercise 15-2 Operating lease; advance payment; leasehold improvement [L015-4 On January 1, 2016, Winn Heat Transfer leased office space under a four-year operating lease agreement The arrangement specified four annual rent payments of $85,000 each, beginning January 1, 2016, the inception of the lease, and at each January 1 through 2019. Winn also paid a $101,000 advance payment at the inception of the lease in addition to the first $85,000 rent payment. With permission of the owner Winn made structural modifications to the building before oocupying the space at a cost of $185,000. The useful life of the building and the structural modifications were estimated to be 30 years with no residual value. Required: Prepare the appropriate entries for Winn Heat Transfer from the inception of the lease through the end of 2016. Winn's fiscal year is the calendar year. Winn uses straight-ine depreciation. (If no entry is required for a transactionlevent, select "No journal entry required in the first account field.) Vie transaction list 1 Record the advance payment for rent. 2 Record the annual rent payment 3 Record the structural modifications of the building. 4 Record the annual rent. s Record the advance payment allocation. 6 Record the depreciation expense. Credit Note : -journal entry has been entered Record entry Clear entry View general journal MacBook Air