McCormick Ltd., a public company following IFRS, recorded a right-of-use asset and lease liability at $150,000 on May 1, 2023. The interest rate is 10%. McCormick made the first lease payment of $25,561 on May 1, 2023. The lease requires a total of eight annual payments. The equipment has a useful life of eight years with no residual value. Prepare McCormicks December 31, 2023 adjusting entries. Round amounts to the nearest dollar. BE20.9 (LO 5) Use the information for McCormick Ltd. from BE20.8. Assume that at December 31, 2023, McCormick made an adjusting entry to accrue interest expense of $8,296 on the lease. Prepare McCormicks May 1, 2024 journal entry to record the second lease payment of $25,561. Assume that no reversing entries are made. Round amounts to the nearest dollar.