BU340 Managerial Finance I
Directions: Be sure to make an electronic copy of your answer before submitting it to Ashworth College for grading. Unless otherwise stated, answer in complete sentences, and be sure to use correct English spelling and grammar. Sources must be cited in APA format. Your response should be a minimum of one (1) single-spaced page to a maximum of two (2) pages in length; refer to the “Assignment Format” page for specific format requirements.
1. What form of partnership allows some of the investors to limit their liability? Explain by giving examples. (25 points)
2. When does insider trading occur? What government agency is responsible for protecting against the unethical practice of insider trading? Explain by giving examples. (25 points)
3. Explain how the tax code allows depreciation to contribute to cash flow. (25 points)
4. Explain why inflation may restrict the usefulness of the balance sheet as normally presented. (25 points)
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