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Which one of the following statements about convertible bonds is not correct? A. Convertibles are attractive to investors when share prices are falling B. Convertible

Which one of the following statements about convertible bonds is not correct? A. Convertibles are attractive to investors when share prices are falling B. Convertible bonds can be self-liquidating if growth expectations are met C. Convertible bonds have a lower interest rate than ordinary bonds D. Debt capacity increases when conversion takes place E. The conversion premium decreases as conversion becomes likely

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