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My Grade-INGRO-3-29-2 molle.ca Google Home Mal-Ka Check 1. The Stewart Cake Factory owns a building for its operations. Stewart uses only half of the building

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My Grade-INGRO-3-29-2 molle.ca Google Home Mal-Ka Check 1. The Stewart Cake Factory owns a building for its operations. Stewart uses only half of the building and is considering two options. The Candy Store would like to purchase the half of the building that is not being used for $550,000. A 7% commission would have to be paid at the time of purchase. Ice Cream Delight would like to lease the unused half of the building for the next 5 years at $100,000 each year. Stewart would have to continue paying $9,000 of property taxes each year and $1,000 of yearly insurance on the property, according to the proposed lease agreement. Determine the differential income or loss from the lease alternative. Differential revenue from alternatives: Revenue from lease Revenue from sale Differential loss from lease Differential cost of alternatives: Property tax and insurance Commission expense Differential cost of lease Net differential loss from the lease alternative 2 MacBook Pro

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