The following facts are for a non-cancellable lease agreement between Hebert Corporation and Russell Corporation, a lessee: Inception date July 1, 2020 Annual lease payment due at the beginning of each year, starting July 1, 2020 $20,066.26 Bargain purchase option price at end of lease term reasonably certain to be exercised by Russell $4,500.00 Lease term 5 years Economic life of leased equipment 10 years Lessor's cost $60,000.00 Fair value of asset at July 1, 2020 $88,000.00 Lessor's implicit rate 9% Lessee's incremental borrowing rate 9% The collectability 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 Hebert use IFRS 16. Instructions Provide the following for Hebert Corporation, the lessor, rounding all numbers to the nearest cent. Provide the following for Hebert Corporation, the lessor, rounding all numbers to the nearest cent. a. Discuss the nature of the lease. b. Calculate the amount of gross investment at the inception of the lease. e. Prepare the journal entries to reflect the signing of the lease and to record the receipts and income related to this lease for the years 2020, 2021, and 2022. The lessor's accounting period ends on December 31, and Hebert Corporation does not use reversing entries