Instruction: A case study in 2014 titled Covenant design in financial contracts is attached to help you understand the use of debt covenants in real business world. You are required to: 1) Using the knowledge you've learned in the past 5 weeks, Explain the relationship between the business activities triangle and the accounting records/reports triangle, and further explain the structure of financial statements in the financial reports triangle: Classified Balance Sheet, and Multiple Step Income Statement. (5 points) 2) Explain the ratios as well as other debt covenants in the case study (formulas for calculation along with their relationship to items on which specific financial statement). (4 points) 3) In your own words, explain the reasons, usage and benefits (or consequences) of debt covenants as presented in the case study. (4 points) Note: You have 24-hour to work on this take-home assessment and submit via Turnitin. Your work will be graded based on correct answers as well as organizationeatness - you are required to TYPE your response in a word-processing program. Good luck