Many years ago winding road maps issued a convertible bond


Many years ago, Winding Road Maps issued a convertible bond with a conversion ratio equal to 40. The bond's face value is $1,000.

(a) For how many shares of stock can a bondholder convert each bond?

(b) At what stock price should bondholders convert?

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Finance Basics: Many years ago winding road maps issued a convertible bond
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