Eckely, Inc., recently issued bonds with a conversion ratio of 13.8. If the stock price at the

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Eckely, Inc., recently issued bonds with a conversion ratio of 13.8. If the stock price at the time of the bond issue was $49.12, what was the conversion premium?

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Corporate Finance

ISBN: 978-1259918940

12th edition

Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe, Bradford Jordan

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Question Posted: Dec 12, 2019 02:33 PM

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Eckely, Inc., recently issued bonds with a conversion ratio of 13.8. If the stock price at the

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First we need to find the conversion price which is the par value di...View the full answer

Corporate Finance

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