Conversion premiums are found by subtracting the current stock price from the bond's semiannual interest payment.
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Q14: Generally, once a convertible bond trades at
Q15: Convertible securities are attractive because of their
Q16: The conversion premium is equal to the
Q17: A convertible bond has two separate sources
Q18: The conversion premium represents the dollar difference
Q20: Conversion premiums are influenced heavily by expectations
Q21: Because a warrant is dependent on the
Q22: Forced conversion refers to the corporation calling
Q23: "Diluted earnings per share" must assume the
Q24: A call provision is commonly used by
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