What is conversion ratio

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Reference no: EM132998679

You purchase 100 shares of Musa Masak Berhad convertible preferred stock on 1st July 2021. According to the registration statement, each share of preferred stock is convertible after 1st January 1, 2022 (the conversion date) to three shares of Musa Masak's common stocks. Musa Masak Berhad preferred shares are trading at RM50 per share, and the common shares are trading at RM10 per share. You are required to compute the following:

a) What is conversion ratio?

b) What is the conversion price?

c) What is the conversion value?

d) What is the conversion premium?

Reference no: EM132998679

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