The following facts pertain to a non-cancelable lease agreement between Nano Leasing Corzpany and Rock Company, a lessee. Inception date: January 1, 2021 The payments are to be made in advance on December 31 of each year except for the first one $7,500 Bargain-purchase option price at the end of lease term $20,0004 Lease term Economic life of leased equipment 6 years Lessee's incremental borrowing rate- 6% Lessor's implicit ratet Unknown Residual value at the end of lease term $0 4 years Required: 1. Prepare the journal entries to record the lease at the beginning of the lease term for the lessee." 2. Prepare all entries required on the books of Rock Company to record the lease on December 31, 2021, assuming Rock Company uses straight-line depreciation for all long-term assets