Differential Analysis Involving Opportunity Costs On July 1, Matrix Stores Inc. is considering leasing a building and buying the necessary equipment to operate a public warehouse. Alternatively, the company could use the funds to invest in $149,500 of 6% U.S. Treasury bonds that mature in 16 years. The bonds could be purchased at face value. The following data have been assembled: Line Item Description Amount Cost of store equipment $149,500 Life of store equipment 16 years Estimated residual value of equipment $18,200 Yearly costs to operate the warehouse, excluding depreciation of equipment $56,000 Yearly expected revenuesyears 1-8 75,100 Yearly expected revenuesyears 9-16 69,200 Required: Question Content Area 1. Prepare a differential analysis as of July 1 presenting the proposed operation of the warehouse for the 16 years (Alternative 1) as compared with investing in U.S. Treasury bonds (Alternative 2). If an amount is zero, enter "0". If required, use a minus sign to indicate a loss. Differential Analysis Operate Warehouse (Alt. 1) or Invest in Bonds (Alt. 2) July 1 Line Item Description Operate Warehouse (Alternative 1) Invest in Bonds (Alternative 2) Differential Effects (Alternative 2) Revenues $Revenues $Revenues $Revenues Costs: Costs to operate warehouse Costs to operate warehouse Costs to operate warehouse Costs to operate warehouse Cost of equipment less residual value Cost of equipment less residual value Cost of equipment less residual value Cost of equipment less residual value Profit (Loss) $Profit (Loss) $Profit (Loss) $Profit (Loss)