Grichuk Power leased high$-$tech electronic equipment from Kolten Leasing on January $1,2018.$ Kolten purchased the equipment from Wong Machines at a cost of $$253,000,$ its fair value. $($FV of $$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:

Lease term $2$ years $(8$ quarterly periods$)$

Quarterly lease payments $$18,000$ at Jan. $1,2018,$ and at Mar. $31,$ June $30,$ Sept. $30,$ and Dec. $31$ thereafter.

Economic life of asset $5$ years

Interest rate charged by the lessor $8\%$

Required:

Prepare a lease amortization schedule and appropriate entries for Grichuk Power from the commencement of the lease through December $31,2018.$ December $31$ is the fiscal year end for each company. Appropriate adjusting entries are recorded at the end of each quarter.Grichuk Power leased high$-$tech electronic equipment from Kolten Leasing on

January $1,2018.$ Kolten purchased the equipment from Wong Machines at a cost of

$$253,000,$ its fair value. $($FV of $$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.$)$Lease term $2$ years $(8$ quarterly periods$)$

Quarterly lease payments $$18,000$ at Jan. $1,2018,$ and at Mar. $31,$ J

Economic life of asset $5$ years

Interest rate charged by the

lessor

$8\%$Required:

Prepare a lease amortization schedule and appropriate entries for Grichuk Power

from the commencement of the lease through December $31,2018.$ December $31$ is

the fiscal year end for each company. Appropriate adjusting entries are recorded at

the end of each quarter.

Complete this question by entering your answers in the tabs below.

Record the appropriate adjusting entries at the end of each quarter for Grichuk Power

January $1,2018.$ December $31$ is the fiscal year end for each company. $($If no entry is

entry required" in the first account field.$)$

Journal entry worksheet

$1$

$2$

$3$

$4$

Record the beginning of the lease for Grichuk Power.

Note: Enter debits before credits.