The purpose of the restrictive debt covenant that imposes fixed assets restrictions is to Select one: limit the amount of fixed-payment obligations.

1.The purpose of the restrictive debt covenant that imposes fixed assets restrictions is to

Select one:a. limit the amount of fixed-payment obligations. b. prevent the firm from liquidation, acquisition, or encumbrance of capital assets. c. ensure a cash shortage does not cause an inability to meet current obligations. d. protect the lender by controlling the risk and marketability of the borrower's security investment alternatives.