Manufacturers Southern leased high-tech electronic equipment from International Machines on January 1, 2018. International Machines manufactured the equipment at a cost of $100,000. Manufacturers Southern's fiscal year ends December 31. (FV of $1, PV of $1. FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Related Information: Lease term Quarterly rental payments Economic life of asset Fair value of asset Implicit interest rate 2 years (8 quarterly periods) $16,500 at the beginning of each period 2 years $123,288 8% Required 1. Show how International Machines determined the $16,500 quarterly lease payments. 2. Prepare appropriate entries for International Machines to record the lease at its beginning, January 1, 2018, and the second lease payment on April 1, 2018 Required 1 Required 2 Show how International Machines determined the $16,500 quarterly lease payments. (Round your intermediate and final answers to nearest whole dollar.) PV factors based on Table or Calculator function: PV of Lease n= Lease Payment Journal entry worksheet 2 Record the lease. Note: Enter debits before credits. Debit Credit Date General Journal January 01, 2018 Record entry Clear entry View general journal Journal entry worksheet 2 Record cash received Note: Enter debits before credits Date General Journal Debit Credit January 01, 2018 Clear entry View general journal Record entry Journal entry worksheet Record cash received Note: Enter debits before credits. Debit Date General Journal Credit April 01, 2018 Record entry Clear entry View general journal