Show Attempt History Current Attempt in Progress Your answer is partially correct. Laura Leasing Company signs an agreement on January 1, 2020, to lease equipment to Concord Company. The following information relates to this agreement. 1. The term of the non-cancelable lease is 3 years with no renewal option. The equipment has an estimated economic life of 5 years. 2. The fair value of the asset at January 1, 2020, is $75,000. 3. The asset will revert to the lessor at the end of the lease term, at which time the asset is expected to have a residual value of $8,000, none of which is guaranteed. 4. The agreement requires equal annual rental payments of $23,522.48 to the lessor, beginning on January 1, 2020. 5. The lessee's incremental borrowing rate is 5%. The lessor's implicit rate is 4% and is unknown to the lessee. 6. Concord uses the straight-line depreciation method for all equipment. Click here to view factor tables. Prepare all of the journal entries for the lessee for 2020 to record the lease pouces, eg. 1.25. Creant account titles are automatiumy meme when the amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.) Date 1/1/20 1/1/20 Account Titles and Explanation Right-of-Use Asset Lease Liability (To record the lease) Lease Liability Cash (To record lease liability) 12/31/20 v Lease Expense Right-of-Use Asset Lease Liability Debit 67260.41 2352248 Credit 67260.41 23522.48