Terms of a lease agreement and related facts were a. The lease asset had a retail cash selling price of $123.000 its useful life was six years with no residual value (straight-line depreciation) b. Annual lease payments at the beginning of each year were $25.209. beginning January 1. c. Lessor s implicit rate when calculating annual rental payments was 9%. d. Costs of $2.862 for legal fees for the lease execution were the responsibility of the lessor. Prepare the appropriate entries for the lessor to record the lease, the initial payment at its beginning, and at the December 31 fiscal year end under each of the following three independent assumptions. 1. The lease term is three years and the lessor paid $123.000 to acquire the asset (operating tease) 2. The lease term is six years and the lessor paid $123.000 to acquire the asset. Also assume that adjusting the lease receivable (net investment) by initial direct costs reduces the effective rate of interest to 8%. 3. The lease term is six years and the lessor paid $93,000 to acquire the asset. Terms of a lease agreement and related facts were a. The lease asset had a retail cash selling price of $123.000 its useful life was six years with no residual value (straight-line depreciation) b. Annual lease payments at the beginning of each year were $25.209. beginning January 1. c. Lessor s implicit rate when calculating annual rental payments was 9%. d. Costs of $2.862 for legal fees for the lease execution were the responsibility of the lessor. Prepare the appropriate entries for the lessor to record the lease, the initial payment at its beginning, and at the December 31 fiscal year end under each of the following three independent assumptions. 1. The lease term is three years and the lessor paid $123.000 to acquire the asset (operating tease) 2. The lease term is six years and the lessor paid $123.000 to acquire the asset. Also assume that adjusting the lease receivable (net investment) by initial direct costs reduces the effective rate of interest to 8%. 3. The lease term is six years and the lessor paid $93,000 to acquire the asset