Oa January $1,2022,$ Sandhill inc, enters into a $5-$year non$-$cancellable lease with wilson Ltd for equlpment that has an estimated uselullife of $5$ years and a fair value of $$2,084,000.$ Sandhill has an increment al borrowing rate of $8\%$ and Wilson's implicit rate ls $6\%$ Sandhill uses the straigh$-$line depreciation method to depreciate assets. Sandhill will make annual lease payments on January if each year $($with the first payment due at the begining of the lease$)$ based on the fair value of the equipment. The lease gereement Includes a guarantee that Sandhill will take over ownership of the equipment from Wilson for a final payment of $$105,000.$ Both companies adhere to IFRS

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Calculate the leaus payment Wilson Ltd$.$ willcharge Sandhill Inc assuming that there is no mark up on the fair value of the equipment. $($Romend present value factor colailotions to $4$ decimal places, eg$.12\mathrm{.}5124.)$

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Lease payment $

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Calculate the present value of the minimum lease payments. $($Round present value foctor calculations to $4$ decimal places, as$.125124.)$

Present value of lease payments $ $$

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Present the journalentries that Sandhill Inc. would record during the first year of the equipment lease $($Credit account titles are qutamatically indented when the amount is entered. Do not indent manually. If no entry Is required, select $"$No Entry" for the account dules and enter O for the amounts. List all debit entries before credit entries Record journal entries in the order presented in the problemm Round answers to $0$ decimal places, e$8,5,275.)$