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When a problem comes along, you must skip it. When something's going wrong, you must skip it. Skip it! SKIP IT GOOD! (...Unless you have extra time at the end, in which case you should go back to it and also consider using Process of Elimination.)

Funded Debt

Just like ice cream and horny clowns, bonds come in colorful flavors. Bondholders aren’t owners – they are lenders, which rhymes with vendors and not much else that’s relevant. If the bonds don’t come due for 5 years or more, then they are referred to as funded debt because the presumption, right or wrong, is that debt will live on the balance sheet a long time and that funding it is part of the normal operations of the company (i.e., they weren’t borrowing money to buy their own bott...

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