Which of the Following Is True Regarding Convertible Securities

question 101

Multiple Choice

Which of the following is true regarding convertible securities:

• A)a convertible bondholder is forced to convert at a specific time.
• B)the convertible option on a bond gives the owner the right to buy shares from a company at a set price.
• C)the owner of a warrant option will benefit if the firm's stock does poorly.
• D)the owner of a warrant option will benefit if the firm's stock does well.

---

Definitions:

Cribiform Plate

A part of the ethmoid bone in the skull with many small holes through which olfactory nerve fibers pass from the nasal cavity to the brain.

Nasal Conchae

Curved bony projections in the nasal cavity that help to filter, warm, and moisten the air we breathe.

Zygomatic Process

A projection of the temporal bone that forms part of the zygoma, or cheekbone, connecting with the zygomatic bone of the face.

Mandible

The lower jawbone, which is the largest, strongest bone in the face, serving for the reception of the lower teeth and providing structure for facial shape and motion.