Generic Company has issued $100 par callable convertible preferred shares in which each share can be converted into 4 shares of Generic Company common stock. The price of Generic Company's common stock is $20 per share. The price of Generic Company's preferred stock is $95. Generic Company's preferred stock is callable at $110 per share. What is the conversion ratio of Generic Company's preferred stock?

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The Answer of Generic Company has issued $100 par callable convertible preferred shares in which each share can be converted into 4 shares of Generic Company common stock. The price of Generic Company's common stock is $20 per share. The price of Generic Company's preferred stock is $95. Generic Company's preferred stock is callable at $110 per share. What is the conversion ratio of Generic Company's preferred stock?

Generic Company Has Issued $100 Par Callable Convertible Preferred Shares