On July 1, 2020, Shroff Company leased a warehouse building under a 10-year lease agreement. The lease requires quarterly lease payments of $4,500. The first lease payment is due on September 30, 2020. The lease was reported as a finance lease hsing a 8% annual interest rate.

a. prepare the journal entry to record the commencement of the lease on july 1, 2020

b. prepare the journal enteries that would be necessary on September 30 and December 31, 2020

c. post the entries from parts a and b jn their appropriate t-accounts

d. prepare a financial statement effects template to show the effects of the entries from part a and b on the balance sheet and income statement.

round answers to nearest dollar.

Journal entries T-accounts Financial statement effects template Date 7/1/20 Description Debit Credit 9/30/20 9/30/20 Interest expense > ) ) 12/31/20 12/31/20 Interest expense . Note: Round answers to the nearest dollar. Use rounded answers for subsequent computations Journal entries T-accounts Financial statement effects template Note: Enter your answers in order by transaction date using the first available answer field under the appropriate Debit or Crede side of the account. As a result, the first row in the trelated to two different transactions) Cash Finance Lease Liability Accumulated America Interest Expense Right-of-use Asset Finance Lease Amortization pense wat onar. Use rounded answers for subsequent computations Taccounts Financial statement effects template Journal entries Note:Use negative in with your answers, when appropriate Balance sheet Nona Contra Cash Aset AR A Liabilities The Finance Contributed Capitale Earned Capital Incre statement Net Expenses Income Revem Met mono