A Form of Debt Which Can Be Converted to Shares

question 15

Multiple Choice

A form of debt which can be converted to shares after a set period of time is referred to as a:

• A)unsecured note
• B)lease
• C)mortgage
• D)convertible note

---

Definitions:

Paid-in Capital

The amount of money that a company receives from its shareholders in exchange for shares of stock.

Declaration Date

The date on which a company's board of directors announces its intention to pay a dividend.

Incorporation Date

The date on which a company was legally registered or incorporated and started its existence as a corporate entity.

Record Date

Record date is the specific date set by a company on which one must be on the company's books as a shareholder to receive a declared dividend or participate in corporate actions.