On 1 July 2023, Station Ltd leased machinery to Depot Ltd. The machinery was purchased by Station Ltd on 1 July 2023 for its fair value of $233,556. The lease agreement contained the following provisions:

Lease term	3 years
Economic life of machinery	5 years
Annual rental payment, in arrears (commencing 30/6/2024)	$75,000
Residual value at end of the lease term	$45,000
Residual guaranteed by lessee	$30,000
Interest rate implicit in lease	7%

Depot Ltd incurred $1 200 in costs to negotiate the lease arrangement. Depot Ltd intends to return the machinery to the lessor at the end of the lease term. The reporting period ends 30 June.

Required:

Prepare a lease payment schedule for Depot Ltd.

Prepare the journal entries for 1 July 2023 and 30 June 2024.