The following facts are for a non-cancellable lease agreement between Wildhorse Corporation and Russell Corporation, a lessee: Inception date Annual lease payment due at the beginning of each year, starting July 1, 2020 Bargain purchase option price at end of lease term reasonably certain to be exercised by Russell Lease term Economic life of leased equipment Lessor's cost Fair value of asset at July 1, 2020 Lessor's implicit rate Lessee's incremental borrowing rate July 1, 2020 $ 20,847.21 $ 4,300.00 5 years 10 years $ 57,200.00 $ 89,600.00 10% 10% The collectibility of the lease payments is reasonably predictable, and there are no important uncertainties about costs that have not yet been incurred by the lessor. The lessee assumes responsibility for all executory costs. Both Russell and Wildhorse use IFRS 16. Calculate the amount of the right-of-use asset and lease liability. (Round factor values to 5 decimal places, e.g. 1.25124 and final answers to 2 decimal places, e.g. 52.75.) Amount $ Prepare a lease amortization schedule for the lease obligation using a computer spreadsheet for Russell Corporation for the five-year lease term. (Round answers to 2 decimal places, e.g. 52.75.) Russell Corporation (Lessee) Lease Amortization Schedule Annual Lease Date Payment Plus BPO Interest (10%) on Unpaid Obligation Reduction of Lease Obligation Balance of Lease Obligation 7/1/20 $ 7/1/20 $ $ 7/1/21 $ 7/1/22 7/1/23 7/1/24 6/30/25 $ $ $ $ $ Prepare the journal entries on the lessee's books to reflect the signing of the lease agreement and to record the payments and expenses related to this lease for the years 2020 and 2021. Russell's annual accounting period ends on December 31, and Russell does not use reversing entries. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. Round answers to 2 decimal places, e.g. 52.75.) Account Titles and Explanation Debit Credit Date 7/1/20 (To record inception and payment of lease.) 12/31/20 (To record interest.) Depreciation Expense 12/31/20 (To record depreciation expense.) 7/1/2021 (To record lease payment.) 12/31/2021 (To record interest.) 12/31/2021 Depreciation Expense (To record depreciation expense.)