If a $1,000 Bond Is Issued with a Conversion Feature

question 89

Multiple Choice

If a $1,000 bond is issued with a conversion feature that is convertible into 40 shares of common stock,what is the implied exercise price of the shares?

• A)$0
• B)$20
• C)$25
• D)$40

---

Definitions:

Secondary Oocyte

A cell that forms as a result of the first meiotic division of an oocyte and goes on to complete meiosis II upon fertilization.

Granulosa Cells

In mammals, cells that surround the developing oocyte and are part of the follicle; produce estrogens and inhibin

Primary Oocyte

An immature egg cell that is found in the ovaries of females; it is arrested in the first meiotic division until puberty.

Secondary Oocyte

An oocyte in the second meiotic division phase, ready to be fertilized to potentially develop into an embryo.