Debt Flashcards
1
Q
Anti dilutive covenant:
A
Covenant associated with a convertible security that enables the holder to maintain the right to convert to the same percentage of outstanding shares following a new issue of common stock, stock dividend, or stock split
-conversion ratio INCREASES
-conversion price DECREASES
Proportionate to the amount of newly issued securities.
-on ex date
Reduces: Market price of stock Conversion price of stock Parity price of stock *conversion ratio is NOT reduced
2
Q
T bills
A
-
3
Q
T notes
A
-
4
Q
T receipts
A
-
5
Q
TIPS
A
-
6
Q
T strips
A
-
