question #$2$

On January $1,2024,$ Nath$-$Langstrom Services, Incorporated, a computer software training firm, leased several computers under a tv

year operating lease agreement from ComputerWorld Leasing, which routinely finances equipment for other firms at an annual inter

rate of $4\%.$

The contract calls for four rent payments of $$10,000$ each, payable semiannually on June $30$ and December $31$ each year.

The computers were acquired by ComputerWorld at a cost of $$90,000$ and were expected to have a useful life of five years with no

residual value.

Both firms record amortization and depreciation semiannually.

Required:

Prepare appropriate journal entries recorded by Nath$-$Langstrom Services for the first year of the lease.

Answer is not complete.

Prepare appropriate journal entries recorded by ComputerWorld Leasing for the first year of the lease.

Answer is not complete.