11. You are the CFO of RealNetworks on July 1,2008. The companys stock price is $6.74 and...

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11. You are the CFO of RealNetworks on July 1,2008. The company’s stock price is $6.74 and its convertible debt (as shown in Table 15.7) is now callable.

a. What is the value of the shares the bondholders would receive per $1000 bond if they convert?

b. What is the value per $1000 bond they would receive under the call?

c. If you call the bonds, will the bondholders convert into shares or accept the call price?

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Fundamentals Of Corporate Finance

ISBN: 9781292018409

3rd Global Edition

Authors: Berk, Peter DeMarzo, Jarrad Harford

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Question Posted: Oct 21, 2024 11:00 AM

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11. You are the CFO of RealNetworks on July 1,2008. The companys stock price is $6.74 and...

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Fundamentals Of Corporate Finance

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