| Calculator Keating Co. is considering disposing of equipment that cost $61,000 and has $42,700 of accumulated depreciation to date. Keating Co. can sell the equipment through a broker for $25,000 less a 5% commission. Alternatively, Gunner Co. has offered to lease the equipment for five years for a total of $48,000. Keating will incur repair, Insurance, and property tax expenses estimated at $12,000 over the five-year period. At lease-end, the equipment is expected to have no residual value. The net differential profit or loss from the sell alternative is a a $14,700 profit b. $12,250 loss c. $18,375 profit d. $8,575 loss