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Izzy122 Izzy122
wrote...
Posts: 304
3 months ago
Which of the following statements about bonds that are both convertible and callable is NOT true?

▸ The issuer can force bondholders to decide whether or not to convert at a time of the issuer's choosing.

▸ If these bonds are called by the issuer, the holder can choose to convert them rather than let them be called.

▸ The decision to be made by the bondholder when the bonds are called is the same as she would have to make at maturity.

▸ Prior to maturity, the value of such a bond will be greater than the shares of stock that bond can be converted into.
Textbook 

Fundamentals of Corporate Finance


Edition: 2nd
Authors:
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dnlee1dnlee1
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Posts: 284
3 months ago
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Prior to maturity, the value of such a bond will be greater than the shares of stock that bond can be converted into.
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3 months ago
Exactly what I needed for my project, TYSM
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