Question

On January 1, 2021, Nath-Langstrom Services, Inc., a computer software training firm, leased several computers under a two-year operating lease agreement from Computerworld Leasing, which routinely finances equipment for other forms at an annual interest rate of 4%. The contract calls for four rerit payments of $19,500 each, payable semiannually on June 30 and December 31 each year. The Computers were acquired by Computerworld at a cost of $109,000 and were expected to have a useful life of five years with no residual value. Both firms record amortization and depreciation semiannually FV of S1 PV of $FVA of $1. PVA of $1. FVAD of $1 and PVAD of $(Use appropriate factor(s) from the tables provided.) Required: 1. Prepare appropriate journal entries recorded by Nath-Langstrom Services for the first year of the lease 2. Prepare appropriate journal entries recorded by ComputerWorld Leasing for the first year of the lease Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare appropriate journal entries recorded by Computer World Leasing for the first year of the lease. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. (Round your intermediate calculations and final answers to the nearest whole dollar.) View transaction list Journal entry worksheet 2 3 Record the lease payment received by Computerworld Leasing. Net Enter de b ore credits General Journal Debit Credit June 30, 2021 Clementy View gener a l

help with required 2

Answer 1

	Books of ComputerWorld Leasing
Date	Account title	Debit	Credit
June 30,2021	Cash	19500
	Lease Rent revenue		19500
	Depreciation expense	10900
	Accumulated depreciation-Computers		10900
	(109000/5/2)
Dec 31 2021	Cash	19500
	Lease Rent revenue		19500
	Depreciation expense	10900
	Accumulated depreciation-Computers		10900
	(109000/5/2)