22. Convertible bonds (S25.2) Look back at Teslas convertible bond that was described in Section 25-2. Use
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22. Convertible bonds (S25.2) Look back at Tesla’s convertible bond that was described in Section 25-2. Use the Black—Scholes app from Chapter 22 to provide an estimate of the value of the conversion option. (Note: Tesla was not expected to pay a dividend in this period.) Do you think the conversion option was fairly priced?
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Principles Of Corporate Finance
ISBN: 9781264080946
14th Edition
Authors: Richard Brealey, Stewart Myers, Franklin Allen, Alex Edmans
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