Python Company leased equipment from Hope Leasing on January 1, 2021. Hope recently purchased the equipment at a cost of $282,439.

Other information: Lease term 4 years Annual payments $ 81,000 on January 1 each year Life of asset 4 years Fair value of asset $ 282,439 Implicit interest rate 10% Incremental rate 10% There is no expected residual value. Required: Prepare appropriate journal entries for Python for 2021. Assume straight-line depreciation and a December 31 year-end.

22 Python Company leased equipment from Hope Leasing on January 1, 2021. Hope recently purchased the equipment at a cost of $282,439. Other information: Lease term Annual payments Life of asset Fair value of asset Implicit interest rate Incremental rate 4 years $81,000 on January 1 each year 4 years $ 282,439 10% 10% There is no expected residual value. Required: Prepare appropriate journal entries for Python for 2021. Assume straight-line depreciation and a December 31 year-end. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your answers to the nearest whole dollar amounts.) View transaction list Journal entry worksheet Record the entry to lease the equipment from Hope Leasing on January 01, 2021. Note: Enter debits before credits. General Journal Debit Credit Date January 01, 2021 Journal entry worksheet Record the cash paid for annual payment. Note: Enter debits before credits. Date General Journal Debit Credit January 01, 2021 Journal entry worksheet Record the entry for amortization expense. Note: Enter debits before credits. Date General Journal Debit Credit December 31, 2021