On January 1, 2020, Flint Company contracts to lease equipment for 5 years, agreeing to make a payment of $ 154,201 at the beginning of each year, starting January 1, 2020. The leased equipment is to be capitalized at $ 643,000. The asset is to be amortized on a double-declining-balance basis, and the obligation is to be reduced on an effective-interest basis. Flints incremental borrowing rate is 6%, and the implicit rate in the lease is 10%, which is known by Flint. Title to the equipment transfers to Flint at the end of the lease. The asset has an estimated useful life of 5 years and no residual value.

Prepare the journal entries to record amortization of the leased asset and interest expense for the year 2020. (Credit account titles are automatically indented when 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. Round answers to 0 decimal places, e.g. 5,275.)

Date	Account Titles and Explanation	Debit	Credit
December 31, 2020	enter an account title To record amortization of the leased asset	enter a debit amount	enter a credit amount
	enter an account title To record amortization of the leased asset	enter a debit amount	enter a credit amount
	(To record amortization of the leased asset.)
December 31, 2020	enter an account title	enter a debit amount	enter a credit amount
	enter an account title	enter a debit amount	enter a credit amount