Burt Ltd enters into a non-cancellable 5-year lease agreement with Earnie Ltd on 1 July 2023. The lease is for an item of an item of machinery that , at the inception of the lease, has a fair value of $1,192,939. The machinery is expected to have an economic life of 7 years , after which time it will have an expected residual value of $230,000. There is a bargain purchase option that Burt Ltd will be able to exercise at the end of the 5th year for $220,000. There are to be 5 annual payments of $400,000, the first being made on 30 June 2024. Included within the $400,000 lease payments is an amount of $40,000 representing  payment to the lessor for the insurance and maintenance of the equipment. The equipment is to be depreciated on a straight-line basis. Required: a) Determine the rate of interest implicit in the lease and calculate the present value of the lease payments. In this question the implicit rate is (percent): (enter interest rate)   Proof (Enter the proof in the table below) Description   Calculation Total Periodic lease payments   (Enter calculation formula) (Enter formula) Bargain purchase option   (Enter calculation formula) (Enter formula)     Fair value at lease inception Enter grand total   b) Prepare the journal entries in the books of Burt Ltd at the start of the agreement and for the years ending 30 June 2024 and 30 June 2025. 1st July 2023 Debit/Credit   Description Debit Amount  Credit amount                           30th June 2024 Debit/Credit   Description Debit Amount Credit Amount                                                               30th June 2025 Debit/Credit   Description Debit Amount Credit Amount                                                                 c) Prepare the portion of the statement of financial position for the year ending 30 June 2024 and 2025 relating to the lease asset and lease liability. Assets Description   30th June 2024 30th June 2025 Non- Current Assets       (enter amount) (enter amount)     (enter amount) (enter amount)         Liabilities Description   30th June 2024 30th June 2025 Current liabilities   Lease Liability   (enter amount) (enter amount) Non-current Liabilities   Lease Liability   (enter amount) (enter amount)