LO.3 Cardinal Corporation is a trucking firm that operates in the mid-Atlantic states. One of Cardinal's major
Question:
LO.3 Cardinal Corporation is a trucking firm that operates in the mid-Atlantic states. One of Cardinal's major customers frequently ships goods between Charlotte and Baltimore. Occasionally, the customer sends last-minute shipments that are outbound for Europe on a freighter sailing from Baltimore. To satisfy the delivery schedule in these cases, Cardinal's drivers must substantially exceed the speed limit. Cardinal pays for any related speeding tickets. During the past year, two drivers had their licenses suspended for 30 days each for driving at such excessive speeds. Cardinal continues to pay each driver's salary during the suspension periods. Cardinal believes that it is necessary to conduct its business in this manner if it is to be profitable, maintain the support of the drivers, and maintain the goodwill of customers. Evaluate Cardinal's business practices.
Step by Step Answer:
Essentials Of Taxation Individuals And Business Entities 2019
ISBN: 9780357233290
1st Edition
Authors: William A Raabe, James C Young