Lease or Sell Bullwinkle Company owns equipment with a cost of $365,100 and accumulated depreciation of $55,100 that can be sold for $273,200, less a 3% sales commission. Alternatively, Bullwinkle Company can lease the equipment for 3 years for a total of $286,600, at the end of which there is no residual value. In addition, the repair, insurance, and property tax expense that would be incurred by Bullwinkle Company on the equipment would total $15,700 over the 3-year lease. a. Prepare a differential analysis on October 29 as to whether Bullwinkle Company should lease (Alternative 1) or sell (Alternative 2) the equipment. If required, use a minus sign to indicate a loss. Differential Analysis Lease Equipment (Alt. 1) or Sell Equipment (Alt. 2) October 29 Lease Sell Line Item Description Equipment Equipment Differential Effects (Alternative 1) (Alternative 2) (Alternative 2) < Revenues Costs 286,600 -15,700 273,200 -13,400 Profit (Loss) b. Should Bullwinkle Company lease (Alternative 1) or sell (Alternative 2) the equipment?