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Instructions Duncan Company owns a machine with a cost of $304,560 and accumulated depreciation of $66,700 that can be sold for $260,100 less a 6%

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Instructions Duncan Company owns a machine with a cost of $304,560 and accumulated depreciation of $66,700 that can be sold for $260,100 less a 6% sales commission Alternatively, Duncan Company can lease the machine to another company for three years for a total of $272,000, at the end of which there is no residual value in addition, the repair, Insurance, and property tax expense that would be incurred by Duncan Company on the machine, would total $24,536 over the three years. Required: 1. Prepare a differential analysis on February 21 as to whether Duncan Company should loase (Alternative 1) or sell (Aternative 2) the machine. Refer to the Amount Descriptions list provided for the exact wording of the answer choices for text entries. For those boxes in which you must enter subtracted or negative numbers use a minus sign. If there is no amount or an amount is zero, enter o. A colon () will automatically appear if required 2. Should Duncan Company fease (Allemative 1) or sell (Alternative 2) the machine? Amount Descriptions Amount Descriptions Costs Income loss) IVAN Amount Descriptions Amount Descriptions Costs Income (loss) Revenues Differential Analysis a Prepare a differential analysis on February 21 as to whether Duncan Company should lease (Alternative 1) or sell (Atormative 2) the machine. Refer to the Amount Descriptions is provided for the exact wording of the answer choices for text entries. For those boxes in which you must enter subtracted or negative numbers use a minus sign. I there is no amount or an amount is zero, enter *0. A colon (y will automatically appear it required Differential Analysis Lease Machine (Alternative 1) or Sell Machine (Alternative 2) February 21 Lease Machine Sell Machine Differential Effect on Income Differential Analysis Lease Machine (Alternative 1) or Sell Machine (Alternativo 2) February 21 Lease Machine Sell Machine Offerential Effect on Income Alternative 1) Alternative Alternative 3 . Final Question Should Duncan Company lease (Alternative 1) Sell (Alternative 2) the machine Lease the machine The company is indifferent since the result is the same regardless of which alternative is chosen Sell the machine

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