Essays on Covenants

Credit Risk Management

Commercial Loan Market Commercial loans are debt arrangements agreed upon by the lender (business) and borrower (financial institution) to cover operational costs or fund business projects. During economic downturn, financial institutions are cautious of their lending and consequently import strict regulations that force borrowers to pay a higher interest rate. The agreement between the lender and borrower in the market is documented in a “credit agreement.” In credit risk management, the most important components of the agreement describe the covenants, the security requirements, priority of payments and events of default.

Segmentation of Commercial Loan Market

Financial institutions use credit rating to qualify borrowers based ...

Introduction

As identified by the Law Commission, one of the key problems with the law of freehold covenants is that ‘whereas the benefit of a positive covenant can run at law, the burden of a positive covenant does not run so as to bind successors in title’. Despite the fact that this principle is one of the relatively comprehensible principles of the contemporary land law, in this particular case it requires additional analysis. In particular, the purpose of this research is to analyze the second part of this statement, to identify the main issues emanating from it, focusing on the ...

For years obtaining a marriage license was a requirement in order to say that your marriage was legal. In some states, there is a particular time frame in order to get your license before you marry or else you will have to delay the nuptials. However, each state has different requirements for couples wishing to be granted a marriage license. Marriage licenses are also used to prevent what the court considers to be inappropriate marriages. But after the U.S. Supreme Court made the decision to allow gay marriages to become legalized, some do not see the purpose of a ...

Business Law: Case Analysis

Business Law: Case Analysis Bank of New York Mellon Trust v. Morgan Stanley Mortgage 14-2619 (2016) The facts of this case in brief are that the plaintiff Bank alleged that the defendant had breached its contract with it involving a mortgage loan agreement. The defendant on the other hand alleged that they were not obliged contractually to repurchase the mortgage due to the fact that the contract was vitiated by misrepresentation. The background of the case is that the parties entered into an agreement a mortgage loan agreement and the defendant then defaulted on the loan and the bank ...

The line between matters such as good and evil, just and unjust codes and Pandects is a thin one, and these matters have become highly controversial over the years . The laws governing different countries and religion have also been in conflict over the years. One reason for these controversies is that all countries have more than one religion practiced by the citizens of the country in question. The law of God justifies that which is holy, righteous and just. According to Hobbes, the law by the government is absolute and individuals have a moral obligation to abide by these ...

Abstract

Debt covenants have become one of the major issues that affect the operations of the firm. Many scholars have come up with different ways in which they can leverage this problem. There are many theories of corporate governance that try to solve these problems that face managers of financial institutions. Most of these theories defy the debt covenant perspective and the corporate governance problems in relation to how equity and debt holders affect the director’s ability to act in the interests of the providers of capital. Banks as financial intermediaries have special attributes that increase the standard corporate ...

Thomas Hobbes wrote Leviathan in 1651. Hobbes is considered the founder of modern political philosophy (Pettit, P. 2005). His account of man, the state of nature and the natural law creates the foundation of all his political conclusions. He uses his scientific, geometric method to form the basis on which to construct a detailed discussion of specific political matters, including the institution of a commonwealth, the authority of a conqueror, the nature of the sovereignty and the civil law. Hobbes lays a solid foundation for the ordering of a society under the sovereign. He argues that the state of ...

BUSINESS FINANCING

Introduction Business owners and managers seeking financing encounters an essential decision regarding choice of whether to borrow money or to make use new equity capital. Given that equity and debts have very varied characteristics, each of them has different effect on cash-flow, earnings, and taxes as well as on balance sheet. They also have different impacts on any company`s dilution, leverage as well as a host for other financial metrics by which companies are measured. Lastly, each business financing options presents a different kind of relationship in relation to the financing source. Thus, a company`s plan on ...

Human Rights and Obligation

There is a sheer need to balance out rights and obligation in the Australian context. Human beings have the basic urge to demand their own rights, but when it come to provide rights to other, the attitude remains indifferent. Citizens should be made aware of the notion that with every kind of benefit, it comes a sense of responsibility. Human rights are the rights inherent to all people equally irrespective of their caste, creed, race, sex, nationality, religion or any other status. Every human being is entitled to human rights without any discrimination. These rights are indivisible, interdependent and ...

- Introduction

1.1 Background developments

Traditionally, accounting standards have been developed by different countries on the basis of local legal, economical and cultural institutions frameworks (Elliott and Elliott, 2009, p. 158). As a result, the standard setting was very country specific. With the globalization process at work for the last 3-4 decades and increasing mobility of capital internationally accepted accounting standards have become necessary to facilitate cross border transactions and make financial reporting comparable between countries and companies thereby leading to a greater transparency for investors (Nobes, 2004). IASB has been set up as a private international standard setter with a mandate to create high quality accounting standards ...

Judaism Presentation

Slide1: introduction Judaism is a religion in which the Jewish people subscribe to. It is considered one of the oldest religions in existence today

Slide 2: Relationship with God/Torah

Torah is the holy book in Judaism which is believed to have been revealed to Moses by God at Mount Sinai. This book contains several instructions from God to the children of Israel. There are a total of 613 commandments which are revealed in the book. But it is only 10 out of the 613 which are considered important essential to everyone. These are the Ten Commandments which are commonly known.

Slide 3: history of sacred texts

There are texts in the ...

Question 1

A contract can simply be defined as a legally enforceable agreement between two or more parties or entities. It is an agreement which places different obligations on the various parties to the contract. The breach of the obligations created by the contract would amount to a violation of the contract and the aggrieved party would be entitled to the various remedies that as per the terms contained in the contract . For an agreement to be considered as a contract and thus enforceable in law, it must have some certain characteristics. These are referred to as the elements of a contract. The elements of a ...

Introduction

The IFRS are accounting standards, rules and principles that were introduced by an independent organization in the United Kingdom, known as the International Accountants Standards Board. The institution puts forward that the standards would better serve public companies worldwide than the local standards in the country due to the aspect of comparability, transparency and economic growth. There are several countries that have adopted the IFRS over the recent years. The transition to IFRS for the companies in these countries has considerable costs. There are technical and training costs that are incurred that may cause several companies to be cautious ...

In Ohio law, an allegation regarding violation of a non-compete clause requires the claimant to prove that the section is reasonable and required to secure legitimate interests of the company. Such a clause is acceptable if it is not more than required for the security of the company, does not put excessive hardship on the worker, and is not detrimental to the general public. If the section is arbitrary or too broadly drafted, the judiciary may alter it for securing the company's legitimate stakes. (Bishara & Westermann-Behaylo 2012) Per Raimonde v. Van Vlerah, the Ohio Supreme Court grants recognition to an authority ...

Let’s say that your local homeowner’s association put in a new rule mandating that everyone in the community use the same color of paint for their fences. You’ve long enjoyed that dark brown on your fence – almost black, in fact. However, the color that the association chose is more of a rich cordovan. As more and more of your neighbors comply with the new rules, you start to get some notices from the association that you are no longer in compliance. To be fair, you didn’t vote for the uniform color, and you don’t think that ...

Covenants were and are still an important part of the relationship that God shares with his people. It was important for God to give out rules, which are to be observed by people if they want to enjoy his blessings. This was also a sign that God was in the business of fulfilling what he had promised and hence motivated the people to serve him. One of the very first covenants we encounter in the bible is between Noah and God. Even though a specific person was used as a point of contact for God, the covenant was not just applicable to ...

The term ‘covenant’ simply means ‘agreement’. In the Hebrew Scriptures, the term covenant appeared several times, but most of the said appearances are in Genesis and Exodus. The connection that God wanted to establish with his people, primarily those who trusted him fully could be seen to have been established on the capacity of the said individuals to respond to the laws and policies that come alongside the desire of gaining his approval. In Genesis, a distinct covenant described in this book was that of God’s covenant with Abraham. This covenant indicates God’s promise of giving Abraham the ‘ ...

A covenant is an agreement between two parties who agree to walk and live in certain ways. Several signs and some witnesses who testify usually accompany it to its happening. In the bible, covenants have always been part of God’s plan and purpose for His people. It was one of the ways through which showed his faithfulness by fulfilling what he had promised. We are told in many instances in the bible where God would be angry with the people and cause his wrath to burn against them. Amidst all this, he had specific people whom he had ...

Introduction

Entities of health care recognize revenue for which a little portion of the total amount is billable or billed or the final collection is not assured reasonably at the time the services are rendered. There have been concerns raised by the constituents that these kind of accounting practices lead to gross-up revenue for unexpected amounts to be collected in the end. To add to it, due to the fact that entities of health care make their own decisions as far as bad debts and adjustment to revenues is concerned, the decisions are different from one another and it is not ...

Profitability and Credit Risk Analysis: Apple Inc. and Owen Cornings Inc.

The report is based on conducting an in depth analysis of the profitability and credit risk of the two US based public listed companies, Apple Inc. and Owens Coming. For the purpose of conducting profitability analysis we will be having an overlook of how the company reaches to its bottom line profits and what income and expenses are deemed to reach at that figure. In addition, we will be analyzing multiples such ROE(including Dupont), operating margins, etc. for each company . On the other hand, as for credit ...

Advantages and disadvantages of equity financing

Advantages One advantage of equity financing is that AMSC will not be forced to make any regular payments to shareholders. Equity holders in the company benefit through dividends and capital gains that arise from the appreciation of shares of the company. Corporations do not have an obligation to pay dividends to its shareholders. AMSC will only pay dividends to its equity holders if the company makes a profit. The rules for capital maintenance stipulate that companies should pay dividends out of distributable profits (Baker & Martin, 2011). It implies AMSC will not make any distributions to shareholders if it does ...

The Mosaic covenant is the covenant that was made between God and the people of Israel under Moses at Mount Sinai. This convent is similar to other covenants, because it involved the people of Israel and a sovereign God. On the contrary, covenant in the patriarch is the covenant that involved God and Abraham. Apparently, these two covenants differ in quite a number of ways; this paper will in essence present the differences between the two and subsequently establish how kingship relates to both. The covenant between God and Abraham was unconditional; this means that the two parties involved were ...

[Institution’s Name] Organizations have been termed as a place in which numerous professionals work together for the achievement of a single and pre-specified goal . Organizations have number of departments in particular and every department has to play their part in order to increase both the economical and strategic strength and belongings of an organization. It is extremely important for an organization to keep all of their users in a perfect manner . There can be number of users related to an organization, like management, employees and shareholders as well. All of these users have their own significance and importance lies ...

Chapter Two: Real Estate Lending Decision in Kuwaiti Banks

Literature Review

The five Cs of credit model – character, collateral, capital, conditions and capacity, all serve as important indicators for gauging the inclination and aptitude of debtors in fulfilling the obligations they have to their respective creditors (Sraeel, 2005, p. 40, par. 5; Strischek, 2009, par. 2). It is thus advisable for creditors to make their decisions based on the five Cs of credit model in order for them to assess the creditworthiness of their respective debtors properly (Strischek, 2011, par. 1). The prominence of the five Cs of credit model resurged most recently during the 2008 global financial ...

Article Review

God’s covenant between Abraham and David are often speculated as conditional or unconditional. Given that there was a form of agreement between God and Abraham or David, the promise of land was considered conditional. God speculated that Abrahamic or Davidic lineage would be blessed through getting future land depending on the loyalty of the people to God. This paper will examine both Davidic and Abrahamic covenants made by God and the land grants that go hand in hand with these covenants. The covenant between God and Abraham is outlined in Genesis 15 and 17 in that the term ‘ ...

“Instructor’s Name’

The Raisin In the Sun A Raisin in the sun is a play that epitomizes the struggle of the African American community in America, during the Jim Crow era. The slavery shackles had been removed and many rights were bestowed on the Blacks during that period, but all those legislations and laws could not erase from the hearts of the people the racial disparity, which had grown strong roots over centuries. This play written by Lorraine Hansberry, won the award for the Best American Play and Hansberry went on to become the first American writer to get this award which ...

- The interest rate required by investors on a debt security can be expressed by the following equation: Interest rate = RRF + IP + DRP + LP + PRP + CRP. Define each term of the equation, and explain how it affects the interest rate. RPF stands for real risk-free rate. Real risk-free rate is the minimum percentage of return required by investors identified for the moment of calculating the interest rate. RPF identifies maximum value of the risk that could be accepted. In practice, risk-free rate is bound to a three-month US Treasury bills. There is directly proportional to the interest rate and the ...

Introduction

Covenant refers to a mutual agreement between two people that carries a pledge or promise for the future. One of the most important themes of Hebrew Bible is a covenant between the almighty God and His people or followers. In biblical interpretation, the word covenant contains more underlying meanings than a simple contract or agreement between two people. Derived from the Hebrew word ‘berith’, a covenant is "an agreement enacted between two parties in which one or both make promises under oath to perform or refrain from certain actions stipulated in advance" (Mendenhall and Herion 1 :1179). The word ‘covenant’ has been mentioned in ...

The term Covenant

The word covenant has its roots in the Hebrew term “berit”, which literally means to fetter or to bond. When this word was translated into Greek, it became “syntheke”, which literally means “tying together”. The word covenant is prominently used in the Bible, in referring to various agreements, especially agreements between God and man, God and a community as well as man and man. Although the words covenant and testament are used in the same breath, covenant, as used in the Bible, refers more to the agreements between God and the Jews. The covenants involving God are theologically referred to ...

Introduction

Covenant refers to a mutual agreement between two people that carries a pledge or promise for the future. One of the most important themes of Bible is a covenant between the almighty God and His people or followers. In biblical interpretation, the word covenant contains more underlying meanings than a simple contract or agreement between two people. Derived from the Hebrew word ‘berith’, a covenant is "an agreement enacted between two parties in which one or both make promises under oath to perform or refrain from certain actions stipulated in advance" (Mendenhall and Herion 1 :1179). The word has been mentioned in the Old ...

How was the history of Ancient Israel influenced by the Mosaic covenant and the Decalogue

The mosaic covenant promised Israel blessings for obedience and curses for disobedience, and this really influenced the people of Israel to choose an upright life. This covenant was addressed to them alone-the Israelites (Campbell, 2004). No one could separate the civil, moral and ceremonial parts of the covenant from each other, but it was to function as a unit. It was the most conditional of all the biblical covenants since it dealt specifically with how the people of God should live-the Israelites (Meyer, 2009). It was mandatory for the Israelites to live an upright life so as to receive blessings ...

- Abstract This decision of 1911 related to an anti-trust suit brought by the United States against a group of 65 corporations collectively known as the American Tobacco Company. The United States argued that the organization resulted in an unlawful restraint of the tobacco business, similar to the one found in the oil business under the Standard Oil decision that had just been decided. American Tobacco stated that the purchases were just a matter of diversification within a fragmented market and not done with an intent to monopolize. The Court disagreed, affirmed the lower court decision, finding for the United States. ...

Introduction

Accounting for leases may be complicated by the proposed changes that by FASB and IASB. These two independent bodies aim at altering lease accounting in a view to improve the accounting treatment of leases. The two bodies, which are responsible for setting, accounting standards have the proposed changes in the exposure draft. However, the changes are poised to have certain complications as far as lease accounting is concerned. The complications are expected to impact the business world currently and in the future (Bosco, 2011).

Complication on renewal option

The proposed changes involve a subjective judgment on the lease term. The management must consider any potential ...

McMahon depicts the book in a futuristic yet traditional way. He presents the combination of theoretical as well as practical essence of the church according to the traditional understanding of the Hebrews. This book is built on the foundation of the church but never the less enables students to critically analyze the church in all aspects and denominations. The first chapter is mostly about the narration of Jesus and his foundations on the church. It is called ‘The Story of Jesus’. The chapter centers on the aspects that the story of Jesus showcases the nature of the church and the ...

Introduction

Whales pose as important components of the world’s marine ecosystem (NRDC, n.d.). Those stand among the most fascinating mammals; they manifest intelligence akin to that of human intellectual capacity such as linguistic communication, with their distinctive nervous system features credited for such (D’Amato and Chopra, 2010, p.1). Nevertheless, whales face threats to their existence due to incessant hunting activities. While the International Whaling Commission (IWC) sought to ban whaling activities in 1986, countries such as Japan and Iceland have refused to abide due to their own reasons (NRDC, n.d.). Japan ...

Long Term Borrowings

Long-term debts As of August 28, 2011, the total long-term debt of Costco Wholesale was $2,153 million1. This included the current portion of 5.3% Senior Notes due March 2012, 5.5% Senior Notes due March 2017, 3.5% Zero Coupon convertible subordinated notes due August 2017, 2.695% Promissory notes due October 2017, 0.35% over Yen TIBOR (6-month) Term Loan due June 2018, and other long-term debt. The 5.3% Senior Notes due March 2012 was originally issued in February 2007. However, as of the date of reporting, its maturity was less than one year and it was reclassified as ...

This is a review and analysis of a source of information about the Milwaukee Civil Rights Marches in 1967. The source selected and used is a document: Restrictive Real Estate Covenants, Fox Point Gardens, dated June 18, 1940 and recorded July 26, 1940.

The subject document is two pages containing a total of 18 covenants, governing and restricting the occupation and use of residential lots and dwellings on a Wisconsin village called Fox Point Gardens, located about 12 miles north of Milwaukee.

The document was retrieved from an archive called the Barbee Papers, created in 2010 by Lloyd Barbee. However the Restrictive Covenants document ...

Introduction

Isaiah is one of the Major Prophets in the bible; he is remembered for his straightforward message and a call to repentance. He was mainly called after God realised the wickedness that was in the land. It was at a time when the people of Judah had forsaken God and worshiping other idols. God had planned to destroy the land but decided to warn the people through his prophet Isaiah (Lee, 53). The nation of Judah had apparently become rebellious, worshiping other gods. Isaiah walked from one city to the other with his message of repentance. This made him to be ...

Long-Term Financing

Question 1 Suppose that a firm is operating with neutral corporate and personal taxes in an otherwise perfect capital market and Equation (I6.7) currently holds. In such a world, a firm would never take on any risky debt. Why not? (Hint: Consider what would happen in financial distress). When a firm is operates in an environment with neutral corporate and personal taxes imply that the source of financing has no impact on the tax liability of the firm. Normally, companies usually borrow debt to reduce their tax liability by deducting interest expense. Interest expense is an allowable expense for tax purposes, ...

Introduction

Actually, there are many religious beliefs in the world. Mosaic faith, refers to the belief in the laws that God gave to the people of Israel through his Hebrew prophet Moses. Mosaic Law is set out in the first five books of the holy bible in the Old Testament (Torah). In fact, it is part of religion in the ancient time of Hebrews as well as their offspring’s the Jews. According to W. Anderson (pg, 98-100), the three main aspects of the Mosaic faith are, The God of History, The Covenant Relationship, and You Shall Have No ...