Business, 18.05.2021 19:20 jenkinjack7654
A certain % annual coupon rate convertible bond ($1,000 par value, maturing in 20 years) is convertible at the holder's option into shares of common stock. The bond is currently trading at $. The stock (which pays ¢ a share in annual dividends) is currently priced in the market at $ a share. a. What is the bond's conversion price? b. What is its conversion ratio? c. What is the conversion value of this issue? What is its conversion parity? d. What is the conversion premium, in dollars and as a percentage? e. What is the bond's payback period? f. If comparably rated, nonconvertible bonds sell to yield what is the investment value of the convertible?
Answers: 1
Business, 21.06.2019 23:00
Assume today is december 31, 2013. barrington industries expects that its 2014 after-tax operating income [ebit(1 – t)] will be $400 million and its 2014 depreciation expense will be $70 million. barrington's 2014 gross capital expenditures are expected to be $120 million and the change in its net operating working capital for 2014 will be $25 million. the firm's free cash flow is expected to grow at a constant rate of 4.5% annually. assume that its free cash flow occurs at the end of each year. the firm's weighted average cost of capital is 8.6%; the market value of the company's debt is $2.15 billion; and the company has 180 million shares of common stock outstanding. the firm has no preferred stock on its balance sheet and has no plans to use it for future capital budgeting projects. using the corporate valuation model, what should be the company's stock price today (december 31, 2013)? round your answer to the nearest cent. do not round intermediate calculations.
Answers: 1
Business, 22.06.2019 03:00
Compare the sources of consumer credit 1. consumers use a prearranged loan using special checks 2. consumers use cards with no interest and non -revolving balances 3. consumers pay off debt and credit is automatically renewed 4. consumers take out a loan with a repayment date and have a specific purpose a. travel and entertainment credit b. revolving check credit c. closed-end credit d. revolving credit
Answers: 1
Business, 22.06.2019 12:00
In the united states, one worker can produce 10 tons of steel per day or 20 tons of chemicals per day. in the united kingdom, one worker can produce 5 tons of steel per day or 15 tons of chemicals per day. the united kingdom has a comparative advantage in the production of:
Answers: 2
Business, 22.06.2019 23:50
When a market is in equilibrium, the buyers are those with the willingness to pay and the sellers are those with the costs.
Answers: 2
A certain % annual coupon rate convertible bond ($1,000 par value, maturing in 20 years) is conv...
Mathematics, 03.12.2021 04:30
Mathematics, 03.12.2021 04:30
Computers and Technology, 03.12.2021 04:30
Social Studies, 03.12.2021 04:30
Mathematics, 03.12.2021 04:30
Mathematics, 03.12.2021 04:30
Biology, 03.12.2021 04:30
English, 03.12.2021 04:30
Mathematics, 03.12.2021 04:30