Differential Analysis involving Opportunity Costs operate a public warehouse. Alternatively, the company could use the funds to invest in $151,200 of 5% U.S. Treasury bonds that mature in On July 1, Coastal Distribution Company is considering leasing a building and buying the necessary equipment 16 years. The bonds could be purchased at face value. The following data have been assembled: Cost of store equipment 5151,200 Life of store equipment 16 years Estimated residual value of store equipment $17,200 Yearly costs to operate the warehouse, excluding depreciation of equipment $57,000 Yearly expected revenues-years 1-8 75,900 Yearly expected revenues-years 9-16 69,800 Required: 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 Operate Invest in Differential Warehouse Bonds Effects (Alternative 1) (Alternative 2) (Alternative 2) Revenues Costs: Costs to operate warehouse Cost of equipment less residual value Profit (Loss)