A bond has a face value of $10,000 and a conversion price of $17.86.The stock is currently trading at $16.30.What is the conversion ratio?

Name: A bond has a face value of $10,000 and a conversion price of $17.86.The stock is currently trading at $16.30.What is the conversion ratio?
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Conversion ratio = Face value / Conversion price
Conversion ratio = $10,000 / $17.86 = 560
Therefore, the answer is D.

A Bond Has a Face Value of $10,000 and a Conversion