Trying to make the correct journal entries for the following scenario.

Purchased equipment and then turned around and leased the equipment. Lessee has the option to buy the equipment at any time but may walk away from it after XX years and equipment reverts back to Lessor.

1. Purchase of Equipment
Equipment Dr.
Cash Cr.

2. Set up A/R for Total Lease Payments due (Contract Amount)
A/R - Lessee Dr.
"XYZ" Cr. (some sort of potential liability or deferred revenue?)

3. Payment Rec'd
Cash Dr.
A/R - Lessee Cr.

4. Allocate interest Income and reduction of amount owed.
"XYZ" Dr. (total amount of payment)
Interest Income Cr. (current Income)
???? Cr. (amount going toward reduction of future purchase option, accumulates to potentially offset purchase price, if not purchased would be revenue?)


What would account XYZ be - a liability or ?
What would ???? be - deferred revenue?

Am I missing anything?

Thank you in advance!