On January 1, 2020 Lessor Corporation enters into a lease agreement with Lessee Ltd Annual lease payment due at the beginning of each year, starting Jan 1, 2020 $ 24,324.43 Residual value guaranteed) at the end of the lease term $ 15,000.00 Lease term 6 years Economic life of leased equipment 10 years Lessor's cost $ 95,000.00 Fair value of asset at Jan 1, 2020 $125,000.00 Lessor's implicit rate 10% Lessee's incremental borrowing rate 10% The collectability of the lease payments is reasonably predictable, and there are no important uncertainties about costs that have not yet been incurred by the lessor. The lessee assumes responsibility for all executory costs. Both companies use ASPE. Required: a) What type of lease is this to the lessee? Explain and show your work b) Prepare a lease amortization schedule for the lessee for the first three years of the lease term c) In the lessee's books, prepare the necessary journal entries to reflect the signing of the lease on Jan 1, 2020. Date Account Debit Credit I d) In the lessor's books, prepare the necessary journal entries to reflect the signing of the lease on Jan 1, 2020. Show your work Date Account Debit Credit