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Name two covenants that Coca Cola can use to make the bonds more appealing to investors. Explain why these covenants will increase the investor's appetite for these bonds.

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Name two covenants that Coca Cola can use to make the bonds more appealing to investors. Explain why these covenants will increase the investor's appetite for these bonds.
Answered Same Day Dec 23, 2021

Solution

Robert answered on Dec 23 2021
124 Votes
Covenants are the promise or formal agreement that specified activities will or will not be ca
ied
out.
The two covenants the Coca Cola should use to make the bonds more appealing to investors are:
- Interest cover
- Debt Service cover ratio
Interest cover is a measure of capability of company’s profile comparative to...
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