Multiple Choice
The common stock of BioTech Industries pays a dividend of $1 per share and has a current market price of $27 per share. The convertible bond is selling for $1100. The payback or breakeven time for the bond is
A) 1.75 years.
B) 2.89 years.
C) 3.20 years.
D) 3.60 years.
E) 4.32 years.
Correct Answer:
Verified
Correct Answer:
Verified
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