Manufacturers Southern leased high$-$tech electronic equipment from International Machines on January $1,2024.$ International Machines manufactured the equipment at a cost of $$97,000.$ Manufacturers Southern's fiscal year ends December $31.$

Note: Use tables, Excel, or a financlal calculator. $($FV of $$1,$ PV of $$1,$ FVA of $$1,$ PVA of $$1,$ FVAD of $$1$ and PVAD of $$1)$

Related Information:

Lease term

Quarterly rental payments

Economic life of asset

Fair value of asset

Implicit interest rate

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

$$16,200$ at the beginning of each period

$2$ years

$ $121,046$

$8\%$

Required:

Show how International Machines determined the $$16,200$ quarterly lease payments.

Prepare appropriate entries for International Machines to record the lease at its beginning, January $1,2024,$ and the seconc lease payment on April $1,2024.$

Answer is complete but not entirely correct.

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

Prepare appropriate entries for International Machines to record the lease at its beginning, January $1,2024,$ and the second lease payment on April $1,2024.$

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field. Round your intermediate and final answers to the nearest whole dollar.

$\backslash$table$[[\frac{No}{1},\backslash$table$[[$Date$],[$January $01,2024]],$General Journal,$\backslash$table$[[$Debit$],[121,046]],$Credit$],[$Lease receivable,$0],[\stackrel{}{x},5,$Cost of goods sold,$0,97,000,],[-,$Ther,Sales revenue,$0,,121,046$