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A convertible bond that is convertible at the investors option is reported as the following a) The present value of the principal is a liability
A convertible bond that is convertible at the investors option is reported as the following
a) The present value of the principal is a liability and the present value of the interest is equity.
b) The present value of the interest payments is a liability and the present value of the principal payment is equity.
c) The present value of the interest payments and principal payment is equity and any residual is debt.
d) The present value of the interest payments and principal payment is debt and any residual is equity.
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