Moral Obligation Bond Moral Obligation Bond is a tax-free revenue bond in which the government is not lawfully required to provide cash to cover a bond debt, but has a strong motivation to do this to prevent default.
What drives net financial obligations? Net financial obligations are increased by the obligation to pay interest, and by dividends, and are reduced by free cash flow.
Contingent obligation Contingent obligation is a financial instrument whose issuer pledges to pay if certain events (such as default on a loan) occur; for example,
Obligation Obligation is the responsibility to perform some act or pay a sum of money when due.
Social obligation Social obligation refers a firm’s engaging in social actions because of its obligation to meet certain economic and legal responsibilities.
Fiduciary obligation Fiduciary obligation means the obligation to always act in another’s (franchisor and franchisee) best interest; it is a mistake to assume that a franchisor...
Definition
[ n.]