Problem related to loan covenants

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Reference no: EM13139976

Loan covenants are used for which of the following reasons?

a. To protect the lender from the borrower substantially weakening the borrower's financial position.

b. To protect the borrower from the lender calling the loan early.

c. To protect the auditor from false information by the borrower.

d. To protect shareholders from management taking on too much debt.

Reference no: EM13139976

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