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On 1/1/A lessor leases Equipment to lessee for 3 years. The equipment has an estimated remaining...

On 1/1/A lessor leases Equipment to lessee for 3 years. The equipment has an estimated remaining useful life of 5 years, a fair value of $250k, and is on lessor's books at $200k. Payments are due at the beginning of each year. Lessor expects the equipment to be returned on 12/31/C with a residual fair value of $30k, but this amount is unguaranteed. Lessor's interest rate is 12%, which is known by lessee. What is lessor's lease inception entry on 1/1/A?

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