Need answer to Part (b). Please choose accounts from List of Accounts.

Exercise 21A-6 a-b (Part Level Submission) Metlock Leasing Company slgns a lease agreement on January 1, 2017, to lease electronlc equlpment to Ivanhoe Company. The term of the non-cancelable lease ls 2 years, and payments are requlred at the end of each year. The following Information relates to this agreement: 1, Ivanhoe has the option to purchase the equipment for 16,500 upon termination of the lease. It is not reasonably certain that Ivanhoe will exercise this option. 2. The equipment has a cost of $130,000 and fair value of $161,000 to Metlock Leasing. The useful economic life is 2 years, with a residual value of $16,500 3. Metlock Leasing desires to earn a return of 5% on its investment 4. Collectibility of the payments by Metlock Leasing is probable