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Felix Company owns equpment with a cost of $363,600 and accumatated depreciation of $55,000 that...

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Accounting

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Felix Company owns equpment with a cost of $363,600 and accumatated depreciation of $55,000 that can be sold for $274,600, fess a 5% sales commission. Aiternatively, Felix Company can lease the equipment for 3 years for a total of $285,200, at the end of which there is no residual value. In addition, the repair, insurance, and property tax expense that would be incurred by Felix Company on the equipment would total $16,200 over the 3year lease. a. Prepare a differential analysis on October 29 as to whether Felix Comgany should lease (Alternative 1) or sell (A:ernative 2) the equipment: If required, use a minus sign to indicate a loss. b. Should felix Company lease (Miternative 1) or seli (Alternative 2) the equipment

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