The face value of a convertible bond is $100, and the issue price is $150, with a
Question:
The face value of a convertible bond is $100, and the issue price is $150, with a conversion ratio of 5. The market price of the equity shares is $25. Compute the.
(a) Conversion price,
(b) Parity,
(c) Premium of the bond.
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Conversion price is equal to Face va...View the full answer
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