Question 5 of 7

Question 5 of 7 1 2 3 4 5. The lease arrangement is for 10 years. The building is eoected to have a residual value at the end '*the lease of SS. 100.000 (unguaranteed). The leased building has a oost of and i.vas .wrchzed for cash on January I, 2020. The twilding is depreciated on a straight-line basis IS estimated economic is 50 years with no salvage valLE Lease payments are $275.000 per year are made at the beginning of the year. Pharoah has an incremental borrowing rate of 836. an} rate implicit inthe lease is unknown to Pharoah Both lessor and lessee are on a calerdar-yegr basis. Click here to view factor tables. (F u 5 decinul in the factor towe ovi&d-) (a) Prepare thejournal entries that Shamrock should makf in 2020. (Credit oaunt titles are autonutjcnlly irdented when amount enterd, not indent manually. entries in the "Bented in tte proHemJ Date Account Titles and Explanation (To record cost of the building) (To record receipt of lease payment) (To record the recognition of the revenue each period)