Elsinore Corporation has outstanding 200,000 shares of $100 par-value preferred stock, issued at an average price of $110 a share. The preferred stock is convertible into common stock at the rate of five shares of common stock for each share of preferred stock. Louis Reynault owns 700 shares of the preferred stock. During the current year he decides to convert 300 shares into common stock. How many shares of common stock will he receive?

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The Answer of Elsinore Corporation has outstanding 200,000 shares of $100 par-value preferred stock, issued at an average price of $110 a share. The preferred stock is convertible into common stock at the rate of five shares of common stock for each share of preferred stock. Louis Reynault owns 700 shares of the preferred stock. During the current year he decides to convert 300 shares into common stock. How many shares of common stock will he receive?

Elsinore Corporation Has Outstanding 200,000 Shares of $100 Par-Value Preferred