A car rental company wants to expand but cash reserve is depleted. Their options are issue additional debt, Create a wholly owned leasing subsidiary that would borrow the money with a guarantee for payment the subsidiary would lease the cars to the parent, Create a trust that would borrow the money with a guarantee for repayment in the event of liquidation the residual value would go to a historical society. Compare and contrast the 3 alternatives from the perspective of the impact on the parents consolidated balance sheet, their legal ramifications, the ability to control the maintenance, repair, and replacement of autos. Consider any alternatives that might be used in acquiring autos. Select the preferred alternative and show why it is the best choice

Homework help finance is the appropriate place for your question

If you want comment on this Board you have to show you have attempted the problem and ask specific questions