Manufacturers Southern leased high-tech electronic equipment from International Machines on January 1, 2021. International Machines manufactured the equipment at a cost of $88,000. Manufacturers Southern's fiscal year ends December 31 . (FV of $1, PV of $1, FVA of $1, PVA of $1,FVA of $1 and PVAD of $1 ) (Use appropriate factor(s) from the tables provided.) Required: 1. Show how International Machines determined the $15,700 quarterly lease payments. 2. Prepare appropriate entries for International Machines to record the lease at its beginning, January 1 , 2021 , and the second lease payment on April 1,2021. Complete this question by entering your answers in the tabs below. Show how International Machines determined the $15,700 quarterly lease payments. (Round your intermediate and final answers to the nearest whole dollar. Round your percentage answer to 1 decimal place.)