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Newcomb Company has a bond outstanding with a $1000 par value and convertible at $30 per share. What is the bond's conversion ratio? If the

Newcomb Company has a bond outstanding with a $1000 par value and convertible at $30 per share. What is the bond's conversion ratio? If the underlying stock currently trades at $25 per share, what is the bond's conversion value? Would it be advisable for a bondholder to exercise the conversion option?

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