Refer to Practice 15-6. Assume that the lease is to be accounted for as a capital lease. Also assume that the leased asset is to be amortized over the 12-year asset life rather than the 10-year lease term. Make the journal entries necessary on the books of the lessee company

(1) On the lease-signing date and

(2) At the end of the first year, including the recording of the first lease payment.