On august 1, rantoul stores inc. is considering leasing a building and purchasing the necessary equipment to operate a retail store. alternatively, the company could use the funds to invest in $160,000 of 4% u. s. treasury bonds that mature in 16 years. the bonds could be purchased at face value. the following data have been assembled: cost of store equipment $160,000life of store equipment 16 yearsestimated residual value of store equipment $11,200yearly costs to operate the store, excluding depreciation of store equipment $65,030yearly expected revenues—years 1–8 $90,000yearly expected revenues—years 9–16 $71,300required: 1. prepare a differential analysis as of august 1 presenting the proposed operation of the store for the 16 years (alternative 1) as compared with investing in u. s. treasury bonds (alternative 2). refer to the lists of labels and amount descriptions for the exact wording of the answer choices for text entries. for those boxes in which you must enter subtracted or negative numbers use a minus sign. if there is no amount or an amount is zero, enter "0". a colon (: ) will automatically appear if required.2. based on the results disclosed by the differential analysis, should the proposal be accepted? 3. if the proposal is accepted, what would be the total estimated income from operations of the store for the 16 years? labels and amount descriptionslabels cash flows from investing activities costs amount descriptions costs to operate store cost of equipment less residual value gain on sale of investments income (loss) loss on sale of investments revenues differential analysis1. prepare a differential analysis as of august 1 presenting the proposed operation of the store for the 16 years (alternative 1) as compared with investing in u. s. treasury bonds (alternative 2). refer to the lists of labels and amount descriptions for the exact wording of the answer choices for text entries. for those boxes in which you must enter subtracted or negative numbers use a minus sign. if there is no amount or an amount is zero, enter "0". a colon (: ) will automatically appear if required. differential analysisoperate retail store (alternative 1) or invested in u. s. treasury bonds (alternative 2)august 11operate retail storeinvested in u. s. treasury bondsdifferential effect on income2(alternative 1)(alternative 2)(alternative 2)34567final questions2. based on the results disclosed by the differential analysis, should the proposal be accepted? yesnothe company is indifferent since the result is the same regardless of which alternative is chosen.3. if the proposal is accepted, what would be the total estimated income from operations of the store for the 16 years?