I am struggling this term and I was wondering if someone can please explain this following question to me, I would like how it is solved not just an answer please.

Six ovens were rented on December 31, with $20,000 charged to rent expense. The lease runs for 6 years with an implicit interest rate of 5%. At the end of the 6 years, Peyton will own them.Make any necessary adjusting entries.

Thank you so so so much.