Terms of a lease agreement and related facts were as follows: a. Incremental costs of commissions for brokering the lease and consummating the completed lease transaction incurred by the lessor were $4,145 b. The retall cash selling price of the leased asset was $504,000. its useful life was three years with no residual value. C. The lease term was three years and the lessor paid $504,000 to acquire the asset. d. Annual lease payments at the beginning of each year were $188,898 e. Lessor's implicit rate when caiculating annual rental payments was 13% Note: Use tables, Excel, or a financlal calculator. (FV of \$1, PV of \$1. EVA of S1. PVA of S1, EVAD or S1 and PVAD of S1) Requlred: 1. Prepare the appropriate entnes for the lessor to record the lease and related payments at its beginning. January 1,2024. 2. Caiculate the effective rate of interest revenue after adjusting the net investment by initial direct costs 3. Record any entry(s) necessary on December 31,2024 , the fiscal year-end Note: Prepare any entry(s) recorded by the lessor at December 31, 2024, its flscal year-end. Complete this question by entering your answers in the tabs below. Prepare the appropriate entries for the lessor to record the lease and related payments at its beginning, January 1, 2024. Note: Round your intermediate and final answers to the nearest whole dollar amount. If no entry is required for a transachion/event, select "No journal entry required" in the first account field. Journal entry worksheet Complete this question by entering your answers in the tabs below. Prepare the appropriate entries for the lessor to record the lease and related payments at its beginnir Note: Round your intermediate and final answers to the nearest whole dollar amount. If no entry is select "No journal entry required" in the first account field. Journal entry worksheet Record the payment of initial direct costs. Note: Enter debits before credits. Note: Prepare any entry(s) recorded by the lessor at December 31, 2024, Its flscal year-end. Complete this question by entering your answers in the tabs below. Prepare the appropriate entries for the lessor to record the lease and related payments at its beginning, Januan Note: Round your intermediate and final answers to the nearest whole dollar amount. If no entry is required for select "No joumal entry required" in the first account field. Journal entry worksheet Notes Enter debits before credits. Calculate the effective rate of interest revenue after adjusting the net investment by initial direct costs. Note: Enter percentage answer as a whole percent. Prepare any entry(s) recorded by the lessor on December 31,2024 , its fiscal year-end. Note: Round your intermediate and final answers to the nearest whole dollar amount. If no entry is required for a transact select "No journal entry required" in the first account field. Journal entry worksheet
