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Brief Exercise 21A-18 Flint Corporation agrees on January 1, 2017, to lease equipment from Packers,...

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Brief Exercise 21A-18 Flint Corporation agrees on January 1, 2017, to lease equipment from Packers, Inc. for 3 years. The lease calls for annual lease payments of $10,500 at the beginning of each year. The lease does not transfer ownership, contain a bargain purchase option, and is not a specialized asset. In addition, the economic life of the equipment is 10 years, and the present value of the lease payments is less than 90% of the fair value of the equipment Prepare Flint journal entries on January 1, 2017 (commencement of the operating lease), and on December 31, 2017. Assume the implicit rate used by the lessor is 5%, and this is known to Fint Credit account titles are automatically indented when the amount is entered. Do not indent manually. For calculation purposes, use 5 decimal places as displayed in the factor table provided and round final answers to "O decimal places, e.g. 5,275.) Click here to view the factor table. Date Account Titles and Explanation Debit Credit To record lease liability) To record lease payment) 12/31/17 Click if you would like to Show Work for this question: Qoen Show Work

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