Answer the below questions if the price of the common stock declines from $23 to $8
What will be the approximate return realized from investing in the convertible bond?
What will be an ideal response?
There is currently no conversion value and with such a low price of $8 it is doubtful if the convertible bond is selling at much of a premium. However, there is a 9.5% coupon payment so that would be realized each year it is paid even if there nothing to be gained from conversion or selling the bond at a premium.
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Firms with short operating cycles will experience less of a lag between the creation and delivery of their products and the collection of cash from customers because
a. their cash flow from operations will be much greater than their working capital from operations. b. their cash flow from operations will not differ much from their working capital from operations. c. their cash flow from operations will be much less than their working capital from operations. d. there will be no relation between their cash flow from operations and working capital from operations.
How large a coalition gets is determined by a number of factors, but at some point they reach a "joining threshold." Briefly define a joining threshold.
What will be an ideal response?
The servant leader characteristic in which the leader has vision and solves problems in creative ways is similar to the problem-solving competency in which leadership approach?
A. behavioral B. skills C. transformational D. authentic
Which of the following is considered a constructive delivery of a gift?
A) giving the key to a safe-deposit box where the gift is kept B) paying for the total value of the good being gifted in cash C) contracting a third party to deliver goods to the donee D) gifting someone in person to ensure acceptance of the gift