Essentially, a Convertible Bond Is a Portfolio Of

Essentially, a convertible bond is a portfolio of:

A) a bond and an automobile whose top can be removed.
B) an otherwise equivalent nonconvertible bond and shares of the issuing firm's stock.
C) an otherwise equivalent nonconvertible bond and a call option on the firm's stock.
D) an otherwise equivalent nonconvertible bond and a put option on the firm's stock.