Scape Corp. manufactures telephony equipment. Scape leased equipment to User Inc., on January 1, 2016. Scape produced the equipment at a cost of $5,700,000. Lease description: $450,959 at beginning of each period Quarterly rental payments Lease term 6 years (24 quarters) No residual value, no BPO Economic life of equipment 6 years Implicit interest rate and lessee's incremental borrowing rate 8% $8,700,000 Fair value of asset Collectibility of the rental payments is reasonably assured, and there are no lessor costs yet to be incurred Required: Prepare appropriate entries for both User and Scape from the inception of the lease through the second rental payment on April 1, 2016. Depreciation is recorded at the end of each fiscal year (December 31). (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)