Lease or Sell Felix Company owns equipment with a cost of $365,100 and accumulated depreciation of $54,700 that can be sold for $273,400, less a 5% sales commission. Alternatively, Felo Company can lease the equipment for three years for a total of $266,100, at the end of which there is no residual value. In addition, the repair, insurance, and property tax expense that would be incurred by Felix Company on the equipment would total $15,900 over the three year lease. a. Prepare a differential analysis on August 7 as to whether Felix 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) Revenues Costs August 7 Lease Equipment Sell Equipment Differential Effects (Alternative 1) (Alternative 2) (Alternative 2) Profit (Loss) b. Should Felix Company lease (Alternative 1) or sell (Alternative 2) the equipment?