Note that these same facts will be used for Question 5 (the lessor) On May 1, 2023, Light Co. leased equipment to House Co. under a 5-year lease. Both companies use IFRS, have December 31 year-end dates, and use the straight-line method for amortization. Details on the capital lease follow: - The annual lease payment of $85,000 includes $1,900 for maintenance and is due every May 1 , beginning May 1,2023. - At the end of the lease term, the lessee has guaranteed the expected residual value of $50,000. - House Co. 's incremental borrowing rate is 8% per year. Light Co.'s implicit interest rate is 7% per year, which is known by House Co. - Light Co. paid $300,000 for the equipment. - The equipment will return to Light Co. at the end of the lease term. - The machine has an estimated economic life of 8 years. PART A Required: Prepare the journal entries for House Co., the lessee, from May 1, 2023 to May 1, 2024 PART B Show the Balnce sheet presentation for ONLY the Liabilities for House Co on December 31,2023