1.
Bubba buys a bond issued at par with a 5% coupon that is convertible into common stock at $40. The bond increases in value by 20 points. What is the conversion parity of the stock?
2.
The most common type of bond issued by a well-established company is:
3.
A corporate bond is quoted as having a net change in value of plus one point. By how much did the bond price increase?
4.
Bubba buys a $4 convertible preferred with a $50 par value that is exchangeable for common stock at 47.50. If the preferred stock is trading at 52 and the common stock at 51, Bubba determines that the preferred stock is:
5.
A case of leverage is: