Question
You purchase a convertible at $110. It has an investment value of $75 and a conversion value of $100. Assuming the credit risk does not
You purchase a convertible at $110. It has an investment value of $75 and a conversion value of $100. Assuming the credit risk does not change, what is the value of the convertible if the stock price increases 200%?
| $110 | ||
| $220 | ||
| $330 | ||
| $300 |
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Fixed Income Securities Tools For Todays Markets
Authors: Bruce Tuckman, Angel Serrat
4th Edition
1119835550, 978-1119835554
