Eastern Edison Company Leased Equipment from Hi-Tech Leasing on January

Eastern Edison Company leased equipment from Hi-Tech Leasing on January 1, 2009.
Required:
Prepare appropriate journal entries for Hi-Tech Leasing for 2009 and 2010. Assume a December 31 year-end.
$$\begin{array}{l}\text { Other information: }\\\begin{array} { l l } \text { Lease term } & 3 \text { years } \\\text { Annual payments } & \$ 80,000 \text { on January } 1 \text { each year } \\\text { Life of asset } & 3 \text { years } \\\text { Implicit interest rate } & 8 \% \\\text { Incremental rate } & 8 \% \\\text { PV, annuity due, } 3 \text { periods, } 8 \% & 2.7833 \\\text { PV, ordinary annuity, } 3 \text { periods, } 8 \% & 2.5771 \\\text { Hi-Tech's cost of the equipment } & \$ 222,666 \\\text { There is no expected residual value. }\end{array}\end{array}$$