Question 2 (a) Alexis Colcases an asset on a non-cancellable lease contract, from Jolly Leasing Co. on terms which constitute a finance lease. The primary period is five years commencing 1 January 2019, and the rental payable is $924,000 on per annum (payable in arrears on 31 December of each year. Alexis Co has the right to continue the lease after the primary period, for an indefinite period at a nominal rent of S1 per year. The leased asset could have been purchased for cash at the start of the lease for S4 million, and has a useful life of 10 years. The rate of interest implicit in the lease can be calculated to be 5%. The asset has nil residual value. After the primary period. Alexis Co planned to lease the asset for three more years. After that, Alexis Co has no further use of the asset Required: (1) Prepare the extracts of the Income Statement of Alexis Co for the financial year ended 31 December 2020, and its extracts of the Statement of Financial Position as at that date. Please include the workings, (16 marks) (ii) Prepare the extracts of the Income Statement of Jolly Leasing Co for the financial year ended 31 December 2020, and its extracts of the Statement of Financial Position as at that date. (4 marks) (b) Explain the impact on the Income Statement and Statement of Financial Position, of a lessee's treatment of an operating lease in MFRS 117, as compared against a lessee's treatment of a finance lease in MFRS 16