A convertible bond has the following features. What is its conversion premium? Coupon 5.25% Maturity June 15,

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A convertible bond has the following features. What is its conversion premium?

Coupon 5.25%

Maturity June 15, 2030 Market price of bond $77.50 Market price of underlying common stock $28.00 Annual dividend $1.20 Conversion ratio 20.83 shares? P-69

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