Hayes Corp, is a manufacturer of truck trailers. On January $1\mathrm{.}2025.$ Hayes Corp. leases ten

trallers to Lester Company under a six$-$year noncancelable lease agreement. The following

information about the lease and the trailers is provided:

Equal annual payments that are due on January $1$ each year provide Hayes Corp. with an

$8\%$ return on net investment $($present value factor for $6$ periods at $8\%$ is $4\mathrm{.}99271).$

Titles to the trailers pass to Lester at the end of the lease.

The fair value of each trailer is $$60,000.$ The cost of each trailer to Hayes Corp. is

$$54,000.$ Each trailer has an expected useful life of nine years.

Collectibility of the lease payments is probable.

Instructions:

What type of lease is this for the lessor? Explain how you made the determination.

Calculate the annual lease payment. $($Round to nearest dollar.$)$

Prepare a lease amortization schedule for Hayes Corp. for the first three years.

Prepare the journal entries for the lessor for $2025$ to record the lease agreement, the

receipt of the lease rentals, and the recognition of revenue $($assume the use of a

perpetual inventory method and round all amounts to the nearest dollar$).$