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Which of the Following Is Not a Common Restrictive Covenant

Question 45

Multiple Choice

Which of the following is not a common restrictive covenant included in bond indentures to reduce risk to the investor?


A) Restrictions on increases in executive salaries
B) Restrictions on additional borrowing activities
C) Requirements that the names and addresses of the bondholders be registered with the bond issuer
D) Limitations on the payment of dividends

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