Use the Figure Below to Answer the Following Questions

question 115

Multiple Choice

Use the figure below to answer the following questions.

Figure 19.1.3
-In Figure 19.1.3,the middle 20 percent of all families receive what share of income?

• A)10 percent
• B)20 percent
• C)30 percent
• D)40 percent
• E)none of the above

---

Definitions:

Conversion Premium

The additional cost above the market value of the underlying asset that an investor pays to own a convertible security, such as convertible bonds.

Convertible Bond

A financial instrument that can be converted into a predetermined amount of the company's equity at certain times during its life, usually at the discretion of the bondholder.

Par Value

This term denotes the officially stated value of a share of stock or bond, serving as a legal capital threshold that companies cannot issue stock below.

Current Market Value

The amount of money that could currently be received for selling an asset in the marketplace.