Typical Debt Covenants Would

question 12

Multiple Choice

Typical debt covenants would
I. Limit the issuance of additional debt senior to the obligation
II. Specify minimum levels of selected financial ratios
III. Specify minimum levels of earnings coverage
IV. Prohibit excessive dividends or stock repurchases

• A) II and III
• B) II and IV
• C) I, III and IV
• D) I, II, III and IV

---

Definitions:

Herbs and Roots

Natural plant parts used for culinary, medicinal, or aromatic purposes.

Family Support

Refers to the assistance and encouragement provided by family members to one another, crucial for emotional and physical wellbeing.

Ethnic Background

The cultural heritage and traditions passed down within a group, often shared through language, cuisine, and social customs.

Healthcare Coverage

Financial insurance designed to cover or offset the costs of medical care, including treatments, medications, and hospital visits.