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Please help on number 3 journal entry for interest expense and lease payable!!! Natick Industries leased high-tech instruments from Framingham Leasing on January 1, 2021.

Please help on number 3 journal entry for interest expense and lease payable!!! image text in transcribed
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Natick Industries leased high-tech instruments from Framingham Leasing on January 1, 2021. Natick has the option to renew the lease at the end of two years for an additional three years. Natick is subject to a $60.000 penalty after two years if it fails to renew the lease Framingham Leasing purchased the equipment from Waltham Machines at a cost of $444,390 (EV of $1. PV of $1. EVA of $1. PVA of $1. FVAD of S1 and PVAD of $1 (Use appropriate factor(s) from the tables provided.) Related Information: Lease ter Lease renewal option for an additional Quarterly lease payments Economic life of asset Interest rate charged by the lessor 2 years (8 quarterly periods) 3 years (12 quarterly periods) $29,000 at Jan 1, 2021, and at Mar. 31, June 30, Sept. 30, and Dec. 31 thereafter. 5 years 123 Required: Prepare appropriate entries for Natick Industries from the beginning of the lease through March 31, 2021. Appropriate adjusting entries are made quarterly. (If no entry is required for a transaction/event, select "No journal entry required in the first account field. Round your intermediate calculations and final answers to the nearest whole dollar.) Answer is not complete. General Journal Credit No 1 Date January 01, 2021 Right-of-use asset Lease payable Debit 444,390 0 444,3900 2 29,000 0 January 01, 2021 Lease payable Cash 29_0000 3 March 31, 2021 Interest expense Lease payable Cash 29_0000 4 March 31, 2021 22 , 220 Amortization expense Right-of-use asset 22220

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