Lease or Sell Kincaid Company owns equipment with a cost of $366,000 and accumulated depreciation of $53,900 that can be sold for $276,900, less a 3% sales commission. Alternatively, Kincaid Company can lease the equipment for three years for a total of $285,100, at the end of which there is no residual value. In addition, the repair, insurance, and property tax expense that would be incurred by Kincaid Company on the equipment would total $16,500 over the three year lease. a. Prepare a differential analysis on August 7 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) Revenues Costs August 7 Lease Sell Equipment Equipment Differential Effects (Alternative 1) (Alternative 2) (Alternative 2) Profit (Loss) b. Should Kincaid Company lease (Alternative 1) or sell (Alternative 2) the equipment?