Hartford, Inc. (lesssee) entered into a lease agreement with Painter Corp (lessor) for the rental of some equipment on May 1, 2019. Pertinent information related to the lease agreement is as follows: Annual rental payments required under the lease are $21,227.65, payable on May 1 of each year. The first rental payment was made upon signing of the lease on May 1, 2019 The lease term is five years, beginning on May 1, 2019, and there are no renewal options. The equipment is estimated to have a ten year life, with no salvage value. The Painter's cost of the equipment is $85,000 at May 1, 2019. The fair market value of the equipment is estimated to be $91,000 on May 1, 2019. Hartford's incremental borrowing rate on May 1, 2019 is 11%. Painter's implicit interest rate in the lease is 10%, which is known by Hartford. The lease agreement includes a provision whereby Hartford can purchase the equipment from Painter at the end of the lease term, for a bargain purchase price of $4,000. Hartford depreciates similar owned equipment using the straight-line method. Collectibility of rental payments is reasonably certain, and there are no other significant costs yet to be incurred by Painter at the time of the lease agreement. Selected present value factors are provided as follows: Single Payment 10% 11% 5 Years .62092 59345 10 Years 38554 35218 Annuity Due 10% 11% 4.16986 4.10245 6.75902 6.53705 Ordinary Annuity 10% 11% 3.79079 3.69590 5.88923 5.65022 REQUIRED: 1. Indicate what type of lease this is for Hartford, Inc., and the reasons why. 2. Prepare an amortization table to be used by Hartford for the entire term of the lease. 3. Prepare the journal entries that Hartford should make to account for the lease from May 1, 2019 through December 31, 2020