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Question 39 (1 point) Which of the following is a valid, acceptable reason for a closely held firm proposing a merger activity? | 1) synergistic
Question 39 (1 point) Which of the following is a valid, acceptable reason for a closely held firm proposing a merger activity? | 1) synergistic benefits arising from mergers 2) reduction in competition resulting from mergers 3) attempts to stabilize earnings by diversifying 4) minimizing taxes when disposing of excess cash Question 40 (1 point) If a firm does not expect to owe taxes for a few years and needs some equipment, the firm should: | 1) Lease the equipment and retain the tax benefits. 2) Lease the equipment with the lessor retaining the tax ownership of the asset. 3) Borrow the money to buy the asset and then depreciate it using CCA depreciation. 4) Buy the equipment with cash and depreciate it using CCA. 5) Buy the equipment and depreciate it straight-line over the life of the asset
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