Matlock Company leasad aquipment from Costnar Company, beginning on Dacamber $31,2024.$ The lease tarm is $6$ years and racuirs

equal rental paymants of $$24,542$ at the bazinning of each year of the lease, starting on the commencamant data $[$December $31,$

$.$ The equipmant has a fair value at the commencement date of the lease of $$120,000,$ an estimated useful life of $6$ yaars, and no

estimatad residual value. The appropriats intarest rate is $9\%6$

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Prepare Metlock's $2024$ and $2025$ journal antriss, assuming Metlock dapraciatss similar squipment it owns on a straight$-$line basiz.

$($List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually,

If no entry is required, select $"$No Entry" for the account titles and enter $0$ for the amounts. For calculation purposes, use $5$ decimal places as

displayed in the factor table provided and round final answers to $0$ decimal places, es$.5,275.$ Record journal entries in the order presented in

the problem.$)$

$($To record lease Fability$)$

$($To record lease payment$)$

$($To record lease payment$)$

$($To record amortization of the right$-$or$-$use asset$)$