suppose you own a convertible bond that has a conversion ratio equal to 50. Each convertible bond has a face value equal
Posted: Sun Jul 03, 2022 12:54 pm
suppose you own a convertible bond that has a conversion ratioequal to 50. Each convertible bond has a face value equal to$1000.The current market value of the company's commons stocks is$19 , and the bond is selling for $980.
a)if you convert the bond into common stock how many shares ofstock can you receive[12:53 PM]20
30
40
50
100
B) what is the conversio price?
C) If you convert the bond into common stock, what is theconversion value
a)if you convert the bond into common stock how many shares ofstock can you receive[12:53 PM]20
30
40
50
100
B) what is the conversio price?
C) If you convert the bond into common stock, what is theconversion value