Julio Velasquez needs a few new trucks for his business. He is considering buying the trucks but

Question:

Julio Velasquez needs a few new trucks for his business. He is considering buying the trucks but is concerned that the additional debt he will need to borrow will make his liquidity and ratios look bad. What options does he have other than purchasing the trucks, and how will these options affect his financial statements?

Solvency
Solvency means the ability of a business to fulfill its non-current financial liabilities. Often you have heard that the company X went insolvent, this means that the company X is no longer able to settle its noncurrent financial...