Marin Leasing Company signs a lease agreement on January 1,2020, to lease electronic equipment to Cullumber Company. The term of the non-cancelable lease is 2 years, and payments are required at the end of each year. The following information relates to thic agreement: 1. Cullumber has the option to purchase the equipment for $27,000 upon termination of the lease. It is not reasonably certain that Cullumber will exercise this option. 2. The equinment has a cost of $340,000 and fair value of $396.500 to Marin Leasing The useful conomic life is 2 years, with a residual value of $27,000. 3. Marin Leasing desires to earn a return of 5% on its investment. 4. Collectibility of the parments by Marin teasing is probable. Click here to view factor tables (a) Prepare the journal entries on the books of Marin Leasing to reflect the payments received under the lease and to recognize income for the years 2020 and 2021. (Credit account titles are outomatically indented when amount is entered. Do not indent manually. For calculation purposes, use 5 decimal places as displayed in the factor table provided and round final answers to o decimal places e.3, 5,275.) Chapter 21 HW Question 11 of 12 Date Account Titles and Explanation Debit Credit