Questions $10-13$

On $1/1/2012,$ Marcellus inc enters into a $10-$year non$-$cancellable lease for a piece of machinery owned by Mia, Inc. The lease calls for annual payments of $$10,000,\_$payable at the beginning of each year of the lease $($first payment due $\frac{1}{1}\frac{?}{2012}).$ At the end of the lease, ownership transfers to Marcellus, Inc. Mia, Inc purchased this machine on $\frac{12}{31}\frac{?}{2011}$ for $$50,000,$ and the economic life c the machine is thought to be $20$ years. Marcellus uses a $6\%$ discount rate for present value calculations, while Mia uses $8\%.$

What type of lease is the from the perspective of Mia, Inc?

What $($if any$).$ journal entries should Mia, Inc. record on $\frac{1}{1}\frac{?}{2012}($ignoring depreciation$)?$

What $($if any$).$ journal entries should Mia, Inc. record on $\frac{12}{31}\frac{?}{2012},$ assuming Mia prepares financial statements annually on $\frac{12}{31}?($ignoring depreciation$).$

How much is Mia, Inc.$\text{'}$s net income impacted as a result of this lease in $2012?($ignoring depreciation$).$