Could you please help me answer the question below.

Be sure to answer allthree parts of this question, and to format your entries appropriately.

Below are three lease transactions for Google Airways in 20XX as the Lessee. All leases start on 1/1/XX.

Lessors BJN Leasing CMN Leasing BVC Leasing Type of property 787 Aircraft 727 AircraftL-1011 Aircraft Yearly rental$7,445,064 $5,449,423 $2,851,861 Lease term15 years15 years 20 years Estimated economic life25 years 25 years 25 years Fair market value of leased asset$69,300,000$54,000,000$32,000,000 Present value of the rental payments $63,000,000$46,000,000$28,000,000 Purchase price at end of lease$15,000,000$9,000,000$7,000,000

Instructions (and a hint: remember the four criteria for a capital lease? Only one needs to be met)

1. Identify the three above leases as either operating or capital leases, and explain your answer.
2. Record the initial journal entry for any of the above that are capital leases.
3. Record the journal entry for any of the above that are operating leases.

Note:Make sure to format your entries properly, whether you are using a table or plain text entry.