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Business, 08.09.2021 01:00 LouiseKane1080

Keating Co. is considering disposing of equipment with a cost of $59,000 and accumulated depreciation of $41,300. Keating Co. can sell the equipment through a broker for $25,000, less a 7% broker commission. Alternatively, Gunner Co. has offered to lease the equipment for five years for a total of $50,000. Keating will incur repair, insurance, and property tax expenses estimated at $12,000 over the five-year period. At lease-end, the equipment is expected to have no residual value. The net differential income from the lease alternative is a.$14,750 b.$10,325 c.$17,700 d.$22,125

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