On January Winn Heat Transfer leased office space under a threeyear operating lease agreement. The arrangement specified three annual lease payments of $ each, beginning December and on each December through The lessor, HVAC Leasing, calculates lease payments based on an annual interest rate of Winn also paid a $ advance payment at the beginning of the lease. With permission of the owner, Winn made structural modifications to the building before occupying the space at a cost of $ The useful life of the building and the structural modifications were estimated to be years with no residual value.
Note: Use tables, Excel, or a financial calculator. FV of $ PV of $ FVA of $ PVA of $ FVAD of $ and PVAD of $
Required:
Prepare the appropriate entries for Winn Heat Transfer from the beginning of the lease through the end of Winns fiscal year is the calendar year.
Note: If no entry is required for a transactionevent select No journal entry required" in the first account field. Round your answers to the nearest whole dollar.
