Current Attempt in Progress On January 1, 2020, Kingbird Co. leased a building to Blossom Inc. The relevant information related to the lease is as follows. 1. The lease arrangement is for 10 years. The building is expected to have a residual value at the end of the lease of $2,500,000 (unguaranteed). 2. The leased building has a cost of $3,000,000 and was purchased for cash on January 1, 2020. 3. The building is depreciated on a straight-line basis. Its estimated economic life is 50 years with no salvage value. 4. Lease payments are $255,000 per year and are made at the beginning of the year. . 5. Blossom has an incremental borrowing rate of 7%, and the rate implicit in the lease is unknown to Blossom. 6. Both the lessor and the lessee are on a calendar-year basis. Click here to view factor tables. (For calculation purposes, use 5 decimal places as displayed in the factor table provided.) amount is entered. Do not indent manually. Round answers to 0 decimal places, e.g. 5,275. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit Credit 1/20 Right-of-Use Asset 1,793,594 Lease Liability 1,793,594 (To record the lease) 1/20 Lease Liability 255,000 Cash 255,000 (To record lease payment) /31/20 Lease Expense 255,000 Lease Liability 107,703 Right-of-Use Asset 147,297 e Textbook and Media List of Accounts X Your answer is incorrect. If Blossom paid $20,000 to a real estate broker on January 1, 2020, as a fee for finding the lessor, what is the initial measurement of the right-of-use asset? Right-of-use asset $ 1,813,595