Debt securities frequently are issued with a convertible feature that permits the holder to convert the bond certificates into a determinable number of shares of common stock at any time before the conversion privilege expires.The conversion feature offers many advantages and some disadvantages both to the issuer and the investor,however.
Required:
Identify the advantages of convertible debt both to the issuer and the investor.

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The Answer of Debt securities frequently are issued with a convertible feature that permits the holder to convert the bond certificates into a determinable number of shares of common stock at any time before the conversion privilege expires.The conversion feature offers many advantages and some disadvantages both to the issuer and the investor,however.
Required:
Identify the advantages of convertible debt both to the issuer and the investor.

Debt Securities Frequently Are Issued with a Convertible Feature That