问题如下:
A convertible bond has following features:
Face value: $ 900,000
Price: $1,000,000
Conversion ratio: 30:1
Price of underlying stock: $30,000
The conversion condition for the bond is:
选项:
A.Parity.
B.Above parity.
C.Below parity.
解释:
C is correct.
Conversion value: 30,000 x 30 = $900,000.
The price of the convertible bond is $1,000,000.
Conversion value < the bond's price, so it's condition is below parity
计算上不是很明白这个公式,conversion value=conversion ratio*current share price=30*30,000=900,000
current share price是说一股的价格么?
conversion ratio是说一个债对应 30 个股,这里也没说是多少份债券啊,为啥可以直接这样乘呢?