Which One of the Following Might Be Included in a Bond's

question 115

Multiple Choice

Which one of the following might be included in a bond's list of negative covenants?

• A)Maintain a current ratio of 1.2 or more
• B)Maintain a minimum cash balance of $1.2 million
• C)Limit cash dividends to $1 per share or less
• D)Maintain a times interest earned ratio of 2 or more
• E)Provide audited financial statements in a timely manner

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