The following facts pertainto a non-cancelable lease agreement between Wildhorse Leasing Company and Windsor Company, a lessee May 1, 2020 $17.225.30 $4,000 5 years Commencement date Annual lease payment due at the beginning of each year, beginning with May 1, 2020 Bargain purchase option price at end of lease term Lease term Economic life of leased equipment Lessor's cost Fair value of asset at May 1, 2020 Lessor's implicitate Lessee's incremental borrowing rate 10 years $55.000 $ 27,000 8X 8 The collectibility of the lease payments by Wildhorse is probabit. Click here to view factor tables (For calculation purposes, use 5 decimal places as displayed in the factor cable provided) Discuss the nature of this lease to Windsor The nature of this lease to Windsor is a lease Discuss the nature of this lease to Wildhorse. The nature of this lease to Wildhorse is a lease Prepare a lease amortization schedule for Windsor for the 5-year lease term. (Round answers to 2 decimal places es 5.275.15) WINDSOR COMPANY (Lessee) Lease Amortization Schedule Annual Lease Payment Plus BPO Date Interest on Liability Reduction of Lease Liability Lease 5/1/20 $ $ $ S S/1/20 5/1/21 5/1/22 5/1/20 5/1/24 Prepare a lease amortization schedule for Windsor for the 5-year lease term. (Round answers to 2 decimal places, eg. 5,275.15.) WINDSOR COMPANY (Lessee) Lease Amortization Schedule Interest on Reduction of Lease Liability Liability Annual Lease Payment Plus BPO Date Lease 5/1/20 $ $ $ 5/1/20 5/1/21 5/1/22 5/1/23 5/1/24 4/30/25 $ 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. Windsor's annual accounting period ends on December 31, Reversing entries are used by Windsor (Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to 2 decimal places, eg. 5,275.15. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit Credit (To record the lease) (To record the first lease payment) (To record interest experise) (To record the first lease payment) (To record interest expense) (To record amortization of the right-of-use asset) 1 (To record amortization of the right-of-use asset) > (To record interest expense) (To record amortization of the right-of-use asset)