Rand Medical manufactures lithotripters. Lithotripsy uses shock waves instead of surgery to eliminate kidney stones. Physicians Leasing purchased a lithotripter from Rand for $2,450,000 and leased it to Mid-South Urologists Group, Incorporated, on January 1, 2024 Note: Use tables, Excel, or a financial calculator. (EV of $1. Py of $1. EVA of $1. PVA of $1. EVAD of $1 and PVAQ of $1) Lease Description Quarterly lease payment Leane tarn So residual value; no purchase option Economic Life of lithotrip 159,882-beginning of each period 5 years (20 quarters) 3. 2,450,000 Toplicit interest rate and lesson's incremental borrowing 121 Ente Fair value of annet Required: 1. How should this lease be classified by Mid-South Urologists Group and by Physicians' Leasing 2. Prepare appropriate entries for both Mid-South Urologists Group and Physicians' Leasing from the beginning of the lease through the second rental payment on April 1, 2024, Adjusting entries are recorded at the end of each fiscal year (December 31) 3. Assume Mid-South Urologists Group leased the lithotripter directly from the manufacturer, Rand Medical, which produced the machine at a cost of $2.1 million, Prepare appropriate entries for Rand Medical from the beginning of the lease through the second lease payment on April 1, 2024 Complete this question by entering your answers in the tabs below. Required 2 Required 1 Lessee Required 2 Lessor Required 3 How should this lease be classified by Mid-South Urologists Group and by Physicians' Leasing? Mid-South Urologists Group Physicians' Leasing.