A 1000 par value bond that is convertible into 20

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Unformatted text preview: A $1,000-par-value bond that is convertible into 20 shares of common stock. b. A $500-par-value bond that is convertible into 25 shares of common stock. c. A $1,000-par-value bond that is convertible into 50 shares of common stock. LG3 16–8 Conversion ratio What is the conversion ratio for each of the following bonds? a. A $1,000-par-value bond that is convertible into common stock at $43.75 per share. b. A $1,000-par-value bond that is convertible into common stock at $25 per share. c. A $600-par-value bond that is convertible into common stock at $30 per share. LG3 16–9 Conversion (or stock) value What is the conversion (or stock) value of each of the following convertible bonds? a. A $1,000-par-value bond that is convertible into 25 shares of common stock. The common stock is currently selling at $50 per share. b. A $1,000-par-value bond that is convertible into 12.5 shares of common stock. The common stock is currently selling for $42 per share. c. A $1,000-par-value bond that is convertible into 100 shares of common stock....
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This document was uploaded on 01/19/2014.

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