Question 25 (4 points) ASU Company owns equipment with a cost of $165,000 and accumulated depreciation of $60,000 that can be sold for $82,000 less a 6% sales commission. Alternatively, ASU can lease the equipment to another company for five years for a total of $84,600. ASU will incur $7,950 cost over five years for repairs, insurance, and taxes associated with the lease. At the end of the lease, the residual value is zero. Using differential analysis, should ASU Company lease or sell the equipment? Sell the equipment for a saving of $430. Sell the equipment for a saving $82,000. Lease the equipment for a saving of $7,950. Lease the equipment for a saving of $84,600. Question 26 (4 points) The Golden Rams restaurant bakes its own bread for a cost of #230 per unit (100 loaves), including fixed costs of $47 per unit. A proposal is offered to purchase bread from an outside source for $180 per unit, plus $18 per unit for delivery. Using differential analysis, should Golden Rams make or buy the bread, assuming that fixed costs are unaffected by the decision? Buy the bread for a savings of $245 per unit. O Make the bread for a saving of $230 per unit. Buy the bread for a saving of $3 per unit. Make the bread for a saving of $15 per unit. Question 39 (4 points) Use the following information for item 39 and 40. Peace Hall Company has a project with an estimated annual net cash flows of $96,200 for four years and is estimated to cost $315,500. Assume a minimum acceptable rate of return of 10%. Present Value of $1 factor for 10% for 4 years is ... 0.683 Present Value of an Annuity of $1 for 10% for 4 years is ... 3.170 What is the net present value of this project? ($10,546) $304,954. $65,704.60 ($249,795.40)