QS 10-18C Recording capital leases LO C3 Algoma, Inc., signs a five-year lease for office equipment with Office Solutions. The present value of the lease payments is $11,210. Prepare the journal entry that Algoma records at the inception of this capital lease. Journal entry worksheet Record the capital lease of office equipment of $11,210. Note: Enter debits before cred ts. Debit Credit General Journal Transaction Clear entry Next > 13 of 15ll!