Response to the following problem:
On January 1, 2014, Irwin Animation sold a truck to Peete Finance for $33,000 and immediately leased it back. The truck was carried on Irwin's books at $28,000. The term of the lease is 5 years, and title transfers to Irwin at lease-end. The lease requires five equal rental payments of $8,705 at the end of each year.
The appropriate rate of interest is 10%, and the truck has a useful life of 5 years with no salvage value.
Prepare Irwin's 2014 journal entries.