Problem 21A-10 a2-c Waterway Company manufactures a check-in kiosk with an estimated economic life of 12 years and leases it to Wildhorse Airlines for a period of 10 years. The normal selling price of the equipment is $308,375, and its unguaranteed residual value at the end of the lease term is estimated to be $19,600. Wildhorse will pay annual payments of $42,900 at the beginning of each year. Waterway incurred costs of $193,100 in manufacturing the equipment and $4,300 in sales commissions in closing the lease. Waterway has detenmined that the collectibility of the lease payments is probable and that the implicit interest rate is 9% Wildhorse Airlines has an incremental borrowing rate of 9%. Compute the amount of the initial lease liability. (Round present value factor calculations to 5 decimal places,e.g. 1.25124 and the final answer to O decimal places e.g.58,971.) The amount of the initial lease liabilitys SHOW LIST Or ACCOUNTS LINK TO TEXT LINK TO TEXT Prepare a 10-year lease amortization schedule. (Round answers to 0 decimal places e.g. 58,970.) WILDHORSE AIRLINES (Lessee) Lease Amortization Schedule (Annuity-due basis and URV) Interest on Beginning Reduction of Lease Liability Lease Liability of Year Annual Lease Payment Lease Liability Initial PV 2 4 5 7 8 9 10 Prepare all of the lessee's journal entries for the first year. Assume straight-line depreciation. (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 O decimal places e.g.58,970.) Account Titles and Explanation Debit Credit To record the lease.) To record the first rental payment.) To record accrual of annual interest on lease obligation.) To record depreciation expense for first year.)