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On January 1,2022 "Jordan Co." and "Palestine Co." sign a lease agreement, that calls for...

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Accounting

On January 1,2022 "Jordan Co." and "Palestine Co." sign a lease agreement, that calls for "Jordan Co." to lease a Machine to "Palestine Co." for 5 years for $60000 paid at the beginning of each year.
Estimated economic life for the machine is 6 years.
the contract guaranteed residual value of $15,000. Palestine co. expects that it is probable that the expected value of the residual value at the end of the lease will be $10,000 The machine reverts to Jordan co. at the termination of the lease.
Depreciation used (straight-line method).
implicit interest rate is 6%.
Present value of $1 for 5 periods at 6%=.747
Present value of annuity for 5 periods at 6%=4.212
Write the journal entries recorded on January 1,2022
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