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Which of the Following Is Generally True of Convertible Issues

Question 41

Multiple Choice

Which of the following is generally true of convertible issues?


A) Firms generally call their convertibles when the conversion value is greater than the call price.
B) Firms generally call their convertibles when the conversion value is less than the call price.
C) Firms generally do not call their convertibles unless the conversion value is equal to the call price.
D) Firms generally do not call their convertibles unless the conversion value is greater than the call price.

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