Examlex
The system's reaction to an event is called a(n) _______ .
Dilute
To dilute means to make a company's shares less valuable by increasing the total number of shares, often through issuing new shares during fundraising.
Conversion Ratio
The specific number of shares that can be obtained by converting a convertible security like a bond or preferred stock into common stock.
Convertible Bonds
A type of bond that can be converted into a predetermined number of shares of the issuing company's stock, at the holder's option.
Par Value
The face value of a bond or stock as stated by the issuer, often related to its redemption value or original stock value.
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