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    Calculating Conversion Ratio for Convertible Issues

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    Peterson Securities recently issued convertible bonds with a $1000 par value. The bonds have a conversion price of $40 a share. What is the convertible issue's conversion ratio?

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    https://brainmass.com/business/convertible-bonds/calculating-conversion-ratio-for-convertible-issues-79188

    Solution Preview

    The number of shares into which each bond can be converted is called as ...

    Solution Summary

    This solution provides calculations for the conversion ratio.

    $2.19

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