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Edison Leasing leased high-tech electronic equipment toManufacturers Southern on January 1, 2018. Edison purchased theequipment from International Machines at a cost of $127,024. (FV of$1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1)(Use appropriate factor(s) from the tablesprovided.)RelatedInformation:Lease term2 years (8 quarterlyperiods)Quarterly rental payments$17,000 at the beginning of eachperiodEconomic life of asset2 yearsFair value of asset$127,024Implicit interest rate8%(Also lessee’sincremental borrowing rate)Required:Prepare a lease amortization schedule and appropriate entries forEdison Leasing from the beginning of the lease through January 1,2019. Edison’s fiscal year ends December 31.