Which of the Following Is an Example of a Private

question 132

Multiple Choice

Which of the following is an example of a private carrier?

• A) MET is a transporter that operates only in the Chicago area and charges fixed prices.
• B) BCL is a family firm that owns only three trucks, but takes small orders for transport.
• C) VTV owns a fleet of trucks and transports goods for any client for a fee.
• D) COM is a shipping firm that transports goods by road and rail across the United States.
• E) BEL Inc. manufactures parts for automobiles and transports its products to customers itself.

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Definitions:

Equity Method

An accounting technique used by a company to record its investment in another company based on the profit or loss and other comprehensive income of the investee.

Voting Shares

Shares of stock that grant the shareholder the right to vote on matters of corporate policy and the election of board members.

Fair Values

The estimated market value of an asset or liability, based on current conditions and knowledgeable, willing parties' transactions.

Book Values

The value of an asset as reported on the balance sheet, calculated as the original cost of the asset minus any depreciation, amortization, or impairment costs.