RJ Transport Pty Ltd has a long-term contract with PKR SmallGoods Pty Ltd to deliver PKR’s products to supermarkets andwholesalers across Australia. In light of PKR’s expansion plans,the board at SRJ are looking to increase the number of deliverytrucks and refrigerated trailers making up their fleet. One of theideas put forward by the finance manager at SRJ is for the firm tolook at leasing the trucks and trailers rather than purchasingthem. Having never previously leased vehicles, the board at SRJ hasrequested that you write a brief report outlining the benefits toSRJ of leasing the trucks and trailers, as opposed to buying thetrucks and trailers by taking out a loan with their principalbanking partner – Rural Bank. (300 words)
