Calculator Keating Co. is considering disposing of equipment with a cost of $59,000 and accumulated depreciation of $41,300. Keating Co. can sell the equipment through a broker for $34,000, less a 5% broker commission. Alternatively, Gunner Co. has offered to lease the equipment for five years for a total of $49,000. 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 income from the lease alternative is a. $5,640 b. $3,290 c. $7,050 d. $4,700