bus 599

BUS 599

The CEO of a transportation company wants to use a large amount of cash for the purchase of additional new trucks and trailers rather than paying bonuses to its employees. The new trucksare more productive than the existing trucks or used trucks. The used trucks have a lower pricethan the new ones but the new ones have less yearly depreciation because of their longer

BUS 599

useful period. Considering that the company president’s goal is the long term success of the

company, would this normally be a wise decision?Which of the following statements is true regarding the different types of general ledgeraccounts?What is the most important document to have completed before preparing an IncomeStatement, and why?As CFO of a major manufacturing company with a low degree of financial leverage, what impact would you predict this would have on the company?