ONLY NEED HELP WITH PART C$!!!!!$ Thank you!

Assume that on December $31.2024.$ Kimberly$-$ Clark Corp. signs a $10-$pear, non$-$s$.$uncelable lease agreement so lease a slorage building from Sunlund Storage Company. The following indormation pertains to this lease agreement.

The agreement requires equal rental puyments of $$64,797$ beginning on December $31,2024.$

The fair wabe of the bulding en Derember $31\mathrm{.}2024,$ in $5462.954.$

The building has an eitimated economic life of $12$ years, a guaranteed residual value of $$9,000$ and an expected revidual value of $$6,300.$ Kimberly$-$Clark depreclates similar buldings on the straight$-$line method.

The lease is nonenemable. At the termination of the lease, the building reverts to the lever:

Kimberty$-$Clark's incremental bornowing rate is $8\%$ per year. The lessor's implicit rate is not known by Kinberly$-$Clark.

Click here to view factor tablei.

For calculation purposes, use $5$ decimel places as displayed in the foctor table provided$)$journal entries on the lessee's books to reflect the signing of the lease agreement and to record the payments and lated to this lease for the years $2024,2025,$ and $2026.$ Kimberly$-$Clark's fiscal year$-$end ls December $31.$ flist aft detir e credit entries. Credit account bitles are automatically indented when amount is entered. Do not indent manually, If no entry if ect $"$No Entry" for the account titles and enter Of for the amounts. Round answer$-$to Decimal places e$.3,5,275)$

Account Titles and Explanation

Debit

Credit

$$

$$

$$

$$

$($To record the lease$)$

$$

$$

$$

$$

$$

$$

$($To record first lease payment$)$

$$

$$

$$

$$

$$

$$

$($To record amortization of the right$-$of$-$use asset$)$

$$

$$

$$

Interest Expense

$($To record interest experse$)$

$31/26$

$($To record amortiation of the right$-$of$-$use asset$)$

$$

$$

$$

$$

$$

$$

$$

$($To recond interest expense$)($b$)$

Your answer is correct.

Suppose the same facts as above, except that Kimberly$-$Clark incurred liegal fees resulting from the exeoution of the lease of $$5\mathrm{.}000,$ and received a lease incentive from Sunland to enter the lease of $$1,000\mathrm{.}4$ ow woud the intial measurement of the leas: Thattly and ridit $-$ d'use asset be alfected under this situation?

Right$-$ed vneases $ $$

e Textbook and Media

List of Accounts

Attempts: $1$ of $5$ used$($c$)$

X Your answer is incorrect.

Suppose that in addition to the $$66,799$ annual rental paymerts, Kimberly$-$Clarl is abso required to pay $$5\mathrm{.}000$ for insurance costs each year on the building directly to the lessor, Surland Storage. How modat this eaccutary cost affect the initial measurement of the lease liability and right$-$of$-$use anset? $($Round answer to $0$ declay places ezs $52751)$

Lease liability $ $$

eTextbook and Media

Lhe of Accounts

Alsumpts $4$ ef $5$ used $$