Which of the Following Statements Is True Regarding Alternative Dispute

question 46

Multiple Choice

Which of the following statements is true regarding alternative dispute resolution?

• A) Alternative dispute resolution can only be used if a judge orders it.
• B) Alternative dispute resolution is always optional.
• C) Alternative dispute resolution is not always optional.
• D) Alternative dispute resolution is usually not a cost-saving method.

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Definitions:

Conversion Value

The financial worth of a convertible security if it is converted into a different form, usually shares of the company's common stock.

Straight Bond Value

The value of a bond that pays fixed interest payments and does not have any additional features such as convertibility or callable options.

Conversion Value

The worth of a convertible security if it is converted into a different asset, usually common stock, at the current market price.

Convertible Bond

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