P$20\mathrm{.}16$B $($LO $3)($Operating Lease$)$ Low Falls Corporation entered into a lease agreement on January $1,2025,$ to provide Amazon Fleet Company with a piece of machinery. The terms of the lease agreement were as follows: $1.$ The lease is to be for $3$ years with rental payments of $$9,249$ to be made at the beginning of each year. $2.$ The machinery has a fair value of $$61,000,$ a book value of $$47,000,$ an end$-$of$-$life salvage value of $$0$ and an economic life of $8$ years. $3.$ At the end of the lease term, both parties expect the machinery to have a residual value of $$40,000,$ none of which is guaranteed. $4.$ The lease does not transfer ownership at the end of the lease term, does not have a bargain purchase option, and the asset is not of a specialized nature. $5.$ The implicit rate is $5\%,$ which is known by Amazon Fleet. $6.$ Collectibility of the payments is probable. $7.$ Assume that the lessor uses straight$-$line depreciation.