On January 1, 2018, Ricks Pawn Shop leased a truck from Chumley Motors for a seven-year period with an option to extend the lease for three years. Ricks had no significant economic incentive as of the beginning of the lease to exercise the 3-year extension option. Annual lease payments are $19,500 due on December 31 of each year, calculated by the lessor using a 6% interest rate. The agreement is considered an operating lease. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Required: 1. Prepare Ricks journal entry to record for the right-of-use asset and lease liability at January 1, 2018. 2. Prepare the journal entries to record interest and amortization at December 31, 2018.