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I want to know how to calculate conversion price , the conversion ratio,the conversion value, The total number of shares that will be issued if
I want to know how to calculate conversion price , the conversion ratio,the conversion value, The total number of shares that will be issued if the bonds were fully converted,The total number of shares that will be issued after 40% conversion.
Moon Corporation has agreed on the issuance of 40,000 units of convertible bonds with a coupon rate of 6% per annum and a maturity period of 10 years. At present the company's earnings per share is RM0.60 and the price-earnings ratio is 32. The conversion price will be at a premium of 15%. In addition, the company has 22 million shares outstanding and a tax rate of 30% and no dividend payments. Its current operating profit is RM38 million. Calculate: Moon Corporation has agreed on the issuance of 40,000 units of convertible bonds with a coupon rate of 6% per annum and a maturity period of 10 years. At present the company's earnings per share is RM0.60 and the price-earnings ratio is 32. The conversion price will be at a premium of 15%. In addition, the company has 22 million shares outstanding and a tax rate of 30% and no dividend payments. Its current operating profit is RM38 million. Calculate
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