As the price of common stock rises, Answer a. the value of convertible bonds and convertible preferred stock rises b. the value of convertible bonds rises but convertible preferred stock falls c. the value of convertible bonds and convertible preferred stock declines d. the value of convertible bonds falls but convertible stock rises The value of convertible preferred stock as common stock depends on 1. the exercise terms 2. the dividend paid by the preferred 3. the price of the common stock Answer a. 1 and 2 b. 2 and 3 c. 1 and 3 d. 1, 2, and 3