Lease or Sell Kincaid Company owns equipment with a cost of $366,300 and accumulated depreciation of $55,600 that can be sold for $274,400, less a 5% sales commission. Alternatively, Kincaid Company can lease the equipment for 3 years for a total of $284,700, at the end of which there is no residual value. In addition, the repair, insurance, and property tax expense that would be incurred by Kincaid Company on the equipment would total $15,800 over the 3-year lease. a. Prepare a differential analysis on October 29 as to whether Kincaid 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 Line Item Description Equipment Sell Equipment Revenues Costs Profit (Loss) Differential Effects (Alternative 1) (Alternative 2) (Alternative 2) 284,700