Bond covenants usually restrict the bor- rower's rights in various ways. An example might be a restriction

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Bond covenants usually restrict the bor- rower's rights in various ways. An example might be a restriction that no additional long-term debt could be issued unless the debt-to-total assets. ratio was below .5. Who benefits from such a covenant? How?

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Introduction To Financial Accounting

ISBN: 0131479725

9th Edition

Authors: Charles T Horngren, John A Elliott

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