Which of the Following Is an Example of a Positive

question 177

Multiple Choice

Which of the following is an example of a positive covenant?

• A) The firm must limit the amount of dividends it pays according to some formula.
• B) The firm cannot pledge any assets to other lenders.
• C) The firm cannot merge with another firm.
• D) The firm cannot sell or lease any major assets without approval by the lender.
• E) The company must maintain its working capital at or above some specified minimum level.

---

Definitions:

Cognitive Therapist

A mental health professional specialized in cognitive therapy, focusing on identifying and modifying dysfunctional thought patterns.

Chronically Anxious Client

A person who consistently experiences intense levels of anxiety over an extended period, affecting their daily functioning.

Irrational Thoughts

Thoughts that are not based on reason or logic, often leading to negative emotions and behaviors.

Valium

A medication primarily used to treat anxiety, muscle spasms, and seizures by having a calming effect on the brain and nerves.