Examlex
The value of Firm B to Firm A is equal to:
Conversion Feature
An option within certain bonds or preferred stocks that allows them to be converted into a predetermined amount of the issuer's common stock.
Dividend Yield
The annual dividend payments to shareholders expressed as a percentage of the stock's current price.
Yield-To-Maturity
The total return anticipated on a bond if it is held until it matures, including all payments from interest and principal, calculated as an annual rate.
Zero-Coupon Bond
A bond that does not pay periodic interest payments and is sold at a discount from its face value. The bond's profit comes from the difference between its purchase price and its face value at maturity.
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