Francis Corporation (lessor) leased a building to Flannery Company (lessee) on 1/1/21 on a six-year noncancellable lease. The building has an estimated fair value of $1,285,000 and cost Francis $900,000. It has a remaining useful life of twelve years, and an estimated $350,000 residual value at the end of the lease, which Flannery has not guaranteed. Francis uses a rate of 5% in setting the lease payments. Prepare the amortization table and the journal entries that Francis will make in 2021. What will Francis report as its Lease Receivable at 12/31/21? Please dont give handwritten or image based answers thank you

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Leasing

Leasing is a contractual arrangement in which someone (a lessee) pays the owner (or lessor) of a building, land, vehicle, or other asset for the use of that asset. The lease is the agreement between lessee and lessor.