Sure-Bilt Construction Company is considering selling excess machinery with a book value of $278,900 (original cost of $399,000 less accumulated depreciation of $120,100) for $276,700, less a 5% brokerage commission. Alternatively, the machinery can be leased to another company for a total of $284,800 for five years, after which it is expected to have no residual value. During the period of the lease, Sure-Bilt Construction Company's costs of repairs, insurance, and property tax expenses are expected to be $24,600.

a. Prepare a differential analysis, dated May 25 to determine whether Sure-Bilt should lease (Alternative 1) or sell (Alternative 2) the machinery. For those boxes in which you must enter subtracted or negative numbers use a minus sign.

Differential Analysis
Lease Machinery (Alt. 1) or Sell Machinery (Alt. 2)
May 25
	Lease Machinery (Alternative 1)	Sell Machinery (Alternative 2)	Differential Effects (Alternative 2)
Revenues	$fill in the blank 6851fdf6d06c038_1	$fill in the blank 6851fdf6d06c038_2	$fill in the blank 6851fdf6d06c038_3
Costs	fill in the blank 6851fdf6d06c038_4	fill in the blank 6851fdf6d06c038_5	fill in the blank 6851fdf6d06c038_6
Profit (loss)	$fill in the blank 6851fdf6d06c038_7	$fill in the blank 6851fdf6d06c038_8	$fill in the blank 6851fdf6d06c038_9

b. On the basis of the data presented, would it be advisable to lease or sell the machinery? Explain.

The net from selling is $fill in the blank d1ad6608b079fbf_3.