Recording Finance Lease Journal Entries- No Residual Value Pier10 Inc. entered into a 5-year lease and recorded a right-of-use asset and lease liability of $140,800 on January 1 . Pier10 Inc. was aware of the lessor's implicit rate of interest of 5%. The equipment under lease had an estimated 5-year useful life with no residual value. The first lease payment of $30,973 was due upon commencement of the lease. Record Pier10 Inc.'s journal entries during the year assuming that the lease is properly classified as a finance lease. a. January 1 Record the right-of-use asset and lease liability. b. January 1 Record the lease payment. c. December 31 Record the adjusting entries. - Note: Round your answers to the nearest whole dollar. - Note: If a line in a journal entry isn't required for the transaction, select "N/A" as the account names and leave the Dr. and Cr. answers blank (zero)