Q3. Atlas Ltd. sells its manufacturing equipment at a price of Rs.5,500,000 to Hybrid Leasing Co. (buyer-lessor). The fair value of the equipment at time of sale is Rs.6,000,000 and the carrying value is Rs.3,000,000. The seller-lessee leases back the equipment for 10 years in exchange for annual rent payments of Rs.400,000 payable at the end of each year. The seller-lessees incremental borrowing rate is 6%. Assume that the transfer of equipment by the seller-lessee satisfies the requirements of IFRS 15 to be accounted for as a sale. The Buyer-lessor accounts for the lease as finance lease Requirement: General entries and all disclosure relating to Buyer -Lessor and Seller-Lessee