solve and show workings clearly

Review Problem -Finance Lease vs, Operating Lease Neely BBQ leased equipment from Smoke Industries on January 1, 2021. Smoke Industries had recently purchased the equipment for $1.087.75% Required: Round your answers to the nearest whole dollar. 1. Assuming the lease qualifies as a finance lease, prepare the appropriate entries for Neely BBQ (the Lessee) on January 1 , June 30 , and December 31 of 2021. Assume Neely records interest expense and amortizes its right-of-use asset semiannually on June 30 and December 31 st. 5. What amounts would Neely BBQ report on its December 31,2021 balance shect related to the Right-of-Use Asset and Lease Payable (assuming an operating lease classification)? 6. What amounts would Neely BBQ report on its December 31.2021 income statement related to the lease (assuming an operating lease classification)? 7. Now assume Smoke Industries (the Lessor) classified the lease as an operating lease. Prepare the appropriate entries that Smoke would make on January 1, June 30, and December 31 of 2021 to account for the lease (you may ignore the journal entry to record depreciation on the machine). 2. What amounts would Neely BBQ report on its December 31,2021 balance sheet related to the Right-of-Use Asset and Lease Payable? 3. What amounts would Neely BBQ report on its December 31,2021 income statement related to the lease? 4. Now assume that Neely BBQ classified the lease as an operating lease. Prepare the appropriate entries for Neely BBQ on January 1, June 30, and December 31 of 2021