all three questions

8.1 Because the conversion feature in a convertible bond is valuable to bondholders, convertible bond issues have lower coupon payments than otherwise similar bonds that are not convertible. Does this mean that a company can lower its cost of borrowing by selling convertible debt? Explain. 8.2 What economic conditions would prompt investors to take advantage of a bond's convertibility feature? 8.3 We know that a vanilla bond with a coupon rate below the market rate of interest will sell discount and that a vanilla bond with a coupon rate above the market rate of interest will sell o a premium. What kind of bond or loan will sell at its par value regardless of what happens to the market rate of interest