Which of the following refers to restrictions in loan and bond agreements that encourage or forbid certain actions by the borrower?

A. Mortality rates.
B. RAROC.
C. Implicit contracts.
D. Covenants.
E. Credit rationing.

Ans: D. Covenants.

Business

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Many small entrepreneurial firms don't have a deliberately planned organizational structure because ________

A) they are inefficient B) small firms never need structure C) the IRS prevents them from having a structure D) one person does "everything"

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